The 10-second takeaway
For the quarter ended June 30 (Q2), Con-way missed estimates on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue dropped. Non-GAAP earnings per share grew. GAAP earnings per share grew.
Gross margins dropped, operating margins expanded, net margins grew.
Con-way chalked up revenue of $1.38 billion. The 18 analysts polled by S&P Capital IQ looked for sales of $1.45 billion on the same basis. GAAP reported sales were 4.5% lower than the prior-year quarter's $1.45 billion.
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 $0.67. The 21 earnings estimates compiled by S&P Capital IQ forecast $0.59 per share. Non-GAAP EPS of $0.67 for Q2 were 1.5% higher than the prior-year quarter's $0.66 per share. GAAP EPS of $0.75 for Q2 were 1.4% higher than the prior-year quarter's $0.74 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 5.5%, much worse than the prior-year quarter. Operating margin was 5.5%, 20 basis points better than the prior-year quarter. Net margin was 3.1%, 20 basis points better than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $1.45 billion. On the bottom line, the average EPS estimate is $0.63.
Next year's average estimate for revenue is $5.65 billion. The average EPS estimate is $1.92.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 98 members out of 122 rating the stock outperform, and 24 members rating it underperform. Among 42 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 34 give Con-way a green thumbs-up, and eight give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Con-way is outperform, with an average price target of $40.53.
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