Icahn Enterprises (NASDAQ:IEP) Posts Quarterly Earnings Results, Misses Estimates By $0.40 EPS

Key Points

• Icahn Enterprises reported a quarterly loss of $0.31 per share, missing analyst expectations of $0.09 earnings by $0.40. Revenue beat estimates at $3.17 billion versus $2.33 billion expected.
• The partnership declared a quarterly distribution of $0.50 per share, or $2.00 annualized, representing a reported yield of about 37%—a high yield that raises questions about its sustainability.
• Indicative net asset value rose about $865 million quarter over quarter to approximately $3.5 billion as of September 30, while the stock traded at $5.41 after gaining 1% on Wednesday.

Icahn Enterprises (NASDAQ:IEP - Get Free Report) posted its quarterly earnings data on Wednesday. The conglomerate reported ($0.31) earnings per share (EPS) for the quarter, missing the consensus estimate of $0.09 by ($0.40), FiscalAI reports. The company had revenue of $3.17 billion during the quarter, compared to the consensus estimate of $2.33 billion. Icahn Enterprises had a negative net margin of 4.81% and a negative return on equity of 17.99%.

Icahn Enterprises Stock Up 1.0%

NASDAQ IEP traded up $0.06 on Wednesday, reaching $5.41. The stock had a trading volume of 1,766,037 shares, compared to its average volume of 1,015,233. The business has a 50 day moving average price of $6.56 and a 200 day moving average price of $7.39. The company has a current ratio of 2.87, a quick ratio of 2.87 and a debt-to-equity ratio of 2.98. Icahn Enterprises has a 1 year low of $4.97 and a 1 year high of $9.32. The company has a market capitalization of $3.84 billion, a price-to-earnings ratio of -7.30 and a beta of 0.74.

Icahn Enterprises Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, December 23rd. Investors of record on Monday, November 16th will be issued a dividend of $0.50 per share. This represents a $2.00 annualized dividend and a dividend yield of 37.0%. The ex-dividend date is Monday, November 16th. Icahn Enterprises's dividend payout ratio (DPR) is currently -270.27%.

Trending Headlines about Icahn Enterprises

Here are the key news stories impacting Icahn Enterprises this week:

• Positive Sentiment: Indicative net asset value rose about $865 million quarter over quarter to approximately $3.5 billion as of September 30, a potentially supportive sign for the partnership’s asset value. Third-quarter results
• Positive Sentiment: IEP reported receiving $645 million from the sale of Pep Boys, providing a substantial cash inflow. Its affiliate CVR Energy also announced a $4.2 billion acquisition of two refineries, which could expand its refining business. Long-term investor takeaways
• Neutral Sentiment: IEP declared a $0.50 quarterly distribution, or $2.00 annualized—equivalent to a reported yield of 37.4%. The payout may attract income-focused investors, but the unusually high yield also raises questions about how sustainable it is.
• Negative Sentiment: Third-quarter adjusted results were weak: IEP reported a $0.31-per-unit loss versus expectations for $0.09 in earnings. Revenue beat estimates, but a reported $522 million hedge loss appears to have overshadowed the top-line strength. Q3 earnings analysis
• Negative Sentiment: CVR Energy launched a $750 million share offering to help fund its refinery acquisition. The financing adds an equity issuance at an IEP-related business and could temper enthusiasm about the deal. CVR Energy share offering

Wall Street Analyst Weigh In

Separately, Weiss Ratings downgraded shares of Icahn Enterprises from a "sell (d-)" rating to a "sell (e+)" rating in a report on Friday, October 16th. One research analyst has rated the stock with a Sell rating. According to data from MarketBeat, the stock has a consensus rating of "Sell".

About Icahn Enterprises

Icahn Enterprises L.P. NASDAQ: IEP is a diversified holding company managed by Icahn Capital LP. Its activities include making investments in public and private companies, pursuing activist investment strategies, and owning and operating businesses across several industries. The company is controlled by investor Carl C. Icahn, who serves as its chairman.

Its operating businesses have included petroleum refining and the production of nitrogen fertilizers through CVR Energy and CVR Partners, automotive parts distribution and repair services through Icahn Automotive, food packaging through Viskase Companies, and metal recycling through PSC Metals.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.