Spirit AeroSystems Holdings
The 10-second takeaway
For the quarter ended March 28 (Q1), Spirit AeroSystems Holdings beat expectations on revenues and crushed expectations on earnings per share.
Compared to the prior-year quarter, revenue grew. Non-GAAP earnings per share expanded significantly. GAAP earnings per share increased.
Gross margins grew, operating margins increased, net margins shrank.
Spirit AeroSystems Holdings logged revenue of $1.44 billion. The 16 analysts polled by S&P Capital IQ looked for revenue of $1.41 billion on the same basis. GAAP reported sales were 14% higher than the prior-year quarter's $1.27 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.61. The 12 earnings estimates compiled by S&P Capital IQ anticipated $0.48 per share. Non-GAAP EPS of $0.61 for Q1 were 17% higher than the prior-year quarter's $0.52 per share. GAAP EPS of $0.57 for Q1 were 9.6% higher than the prior-year quarter's $0.52 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 14.2%, 30 basis points better than the prior-year quarter. Operating margin was 10.0%, 30 basis points better than the prior-year quarter. Net margin was 5.6%, 20 basis points worse than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $1.46 billion. On the bottom line, the average EPS estimate is $0.51.
Next year's average estimate for revenue is $5.98 billion. The average EPS estimate is $2.14.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 310 members out of 325 rating the stock outperform, and 15 members rating it underperform. Among 89 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 86 give Spirit AeroSystems Holdings a green thumbs-up, and three give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Spirit AeroSystems Holdings is outperform, with an average price target of $19.79.
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Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool recommends Spirit AeroSystems Holdings. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.