Alliance Resource Partners
The 10-second takeaway
For the quarter ended June 30 (Q2), Alliance Resource Partners beat slightly on revenues and crushed expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded. GAAP earnings per share expanded.
Margins expanded across the board.
Alliance Resource Partners logged revenue of $553.6 million. The six analysts polled by S&P Capital IQ looked for net sales of $546.3 million on the same basis. GAAP reported sales were 4.5% higher than the prior-year quarter's $529.9 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures are normalized by S&P Capital IQ and may vary to maintain comparability with normalized estimates.
EPS came in at $1.96. The seven earnings estimates compiled by S&P Capital IQ predicted $1.61 per share. GAAP EPS of $1.96 for Q2 were 7.1% higher than the prior-year quarter's $1.83 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures are normalized by S&P Capital IQ and may vary to maintain comparability with normalized estimates.
For the quarter, gross margin was 37.1%, 430 basis points better than the prior-year quarter. Operating margin was 20.9%, 100 basis points better than the prior-year quarter. Net margin was 13.3%, 40 basis points better than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $550.6 million. On the bottom line, the average EPS estimate is $1.67.
Next year's average estimate for revenue is $2.20 billion. The average EPS estimate is $7.19.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 710 members out of 730 rating the stock outperform, and 20 members rating it underperform. Among 187 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 182 give Alliance Resource Partners a green thumbs-up, and five give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Alliance Resource Partners is outperform, with an average price target of $78.00.
Can your portfolio provide you with enough income to last through retirement? You'll need more than Alliance Resource Partners. Learn how to maximize your investment income and "Secure Your Future With 9 Rock-Solid Dividend Stocks." Click here for instant access to this free report.
- Add Alliance Resource Partners to My Watchlist.
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 Alliance Resource Partners, L.P. 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.