The 10-second takeaway
For the quarter ended March 31 (Q1), Apache missed estimates on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue dropped. Non-GAAP earnings per share shrank significantly. GAAP earnings per share dropped.
Margins dropped across the board.
Apache reported revenue of $4.08 billion. The 14 analysts polled by S&P Capital IQ predicted a top line of $4.31 billion on the same basis. GAAP reported sales were 9.0% lower than the prior-year quarter's $4.48 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 $2.02. The 23 earnings estimates compiled by S&P Capital IQ averaged $2.21 per share. Non-GAAP EPS of $2.02 for Q1 were 33% lower than the prior-year quarter's $3.00 per share. GAAP EPS of $1.76 for Q1 were 12% lower than the prior-year quarter's $2.00 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 79.3%, 520 basis points worse than the prior-year quarter. Operating margin was 33.7%, much worse than the prior-year quarter. Net margin was 17.6%, 20 basis points worse than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $4.40 billion. On the bottom line, the average EPS estimate is $2.18.
Next year's average estimate for revenue is $17.73 billion. The average EPS estimate is $9.01.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 2,134 members out of 2,194 rating the stock outperform, and 60 members rating it underperform. Among 399 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 388 give Apache a green thumbs-up, and 11 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Apache is outperform, with an average price target of $100.56.
Is Apache the right energy stock for you? Read about a handful of timely, profit-producing plays on expensive crude in "3 Stocks for $100 Oil." Click here for instant access to this free report.
- Add Apache to My Watchlist.