Standard Motor Products Inc. SMP reported adjusted earnings of 92 cents per share in second-quarter 2019, beating the Zacks Consensus Estimate of 80 cents. Further, the bottom line was higher than the prior-year quarter figure of 74 cents per share.
During the quarter under review, earnings from continuing operations were $20.6 million compared with $16.8 million recorded in the prior-year quarter. Strong performance by the operating divisions drove the company’s earnings in the quarter.
During the reported quarter, total revenues increased to $305.2 million, which surpassed the Zacks Consensus Estimate of $299 million. The year-ago figure was $286.6 million.
Gross profit increased to $88.9 million from $81.3 million in the year-ago quarter. Operating income increased to $27.7 million from $23.4 million in the year-ago quarter.
Standard Motor Products, Inc. Price, Consensus and EPS Surprise
Standard Motor Products, Inc. price-consensus-eps-surprise-chart | Standard Motor Products, Inc. Quote
In the reported quarter, revenues from the Engine Management segment rose 7.2% year over year to $218 million. Operating income was $26.4 million (12.1% of sales) compared with $23.2 million (11.4% of sales) in the prior-year quarter.
Revenues at the Temperature Control segment increased 5% year over year to $84.4 million. The segment recorded operating income of $7.2 million (8.5% of sales) compared with $5.1 million (6.3% of sales) in the second quarter of 2018.
Revenues at the All Other segment rose to $3.1 million from $2.9 million a year ago. The segment registered operating loss of $5.1 million, wider than loss of $4.7 million recorded in the second quarter of 2018.
Standard Motor had cash and cash equivalents of $17.4 million as of Jun 30, 2019, compared with $18.6 million as of Jun 30, 2018. Other long-term debt was $153,000 as of Jun 30, 2019, compared with $153,000 as of Dec 31, 2018.
The company’s board of directors approved a quarterly dividend of 23 cents per common share. The dividend will be paid out on Sep 3, 2019, to shareholders as of Aug 15, 2019.
Zacks Rank & Stocks to Consider
Standard Motor currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the auto space are Copart, Inc CPRT, CarMax, Inc KMX and Advance Auto Parts, Inc. AAP. While Copart sports a Zacks Rank #1 (Strong Buy), CarMax and Advance Auto Parts has a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
Copart has an expected long-term growth rate of 20%. In the past year, shares of the company have shot up 39%.
CarMax has an expected long-term growth rate of 12.6%. In the past year, shares of the company have rallied 19.4%.
Advance Auto Parts has an expected long-term growth rate of 11.6%. In the past year, shares of the company have improved 7.3%.
Biggest Tech Breakthrough in a Generation
Be among the early investors in the new type of device that experts say could impact society as much as the discovery of electricity. Current technology will soon be outdated and replaced by these new devices. In the process, it’s expected to create 22 million jobs and generate $12.3 trillion in activity.
A select few stocks could skyrocket the most as rollout accelerates for this new tech. Early investors could see gains similar to buying Microsoft in the 1990s. Zacks’ just-released special report reveals 7 stocks to watch. The report is only available for a limited time.
See 7 breakthrough stocks now>>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
CarMax, Inc. (KMX) : Free Stock Analysis Report
Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report
Standard Motor Products, Inc. (SMP) : Free Stock Analysis Report
Copart, Inc. (CPRT) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research