The 10-second takeaway
For the quarter ended March 31 (Q1), WPX Energy whiffed on revenues and missed expectations on earnings per share.
Compared to the prior-year quarter, revenue shrank significantly. Non-GAAP loss per share expanded. GAAP loss per share grew.
Margins dropped across the board.
WPX Energy recorded revenue of $631.0 million. The two analysts polled by S&P Capital IQ predicted revenue of $721.3 million on the same basis. GAAP reported sales were 30% lower than the prior-year quarter's $896.0 million.
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 -$0.25. The nine earnings estimates compiled by S&P Capital IQ forecast -$0.23 per share. Non-GAAP EPS were -$0.25 for Q1 against -$0.05 per share for the prior-year quarter. GAAP EPS were -$0.58 for Q1 versus -$0.22 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 32.6%, 520 basis points worse than the prior-year quarter. Operating margin was -25.0%, much worse than the prior-year quarter. Net margin was -18.4%, much worse than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $704.3 million. On the bottom line, the average EPS estimate is -$0.16.
Next year's average estimate for revenue is $2.50 billion. The average EPS estimate is -$0.62.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 42 members out of 47 rating the stock outperform, and five members rating it underperform. Among 19 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 18 give WPX Energy a green thumbs-up, and one give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on WPX Energy is hold, with an average price target of $18.00.
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