We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Why Is Amer Movil (AMX) Up 1.9% Since Last Earnings Report?
Read MoreHide Full Article
It has been about a month since the last earnings report for Amer Movil (AMX - Free Report) . Shares have added about 1.9% in that time frame, outperforming the S&P 500.
Will the recent positive trend continue leading up to its next earnings release, or is Amer Movil due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important drivers.
America Movil's Q1 Earnings and Revenues Rise Y/Y
America Movil reported net income per ADR of 51 cents for first-quarter 2023, up from 47 cents reported in the prior-year quarter.
Net income in the March quarter was Mex$30,146 million or Mex$0.48 per share compared with Mex$30,797 million or Mex$0.48 per share in the year-ago quarter.
The company had a comprehensive financing cost of Mex$374 million, down 94.9% from the year-earlier quarter’s comprehensive financing costs of Mex$7,364 million
Revenues
Total quarterly revenues increased 1.7% to Mex$208,926 million owing to solid momentum in the equipment business segment.
Service revenues were Mex$169,053 million, down 2.2% year over year. Equipment revenues totaled Mex$31,233 million, up 2.1%.
America Movil gained 1.1 million wireless subscribers in the first quarter. This figure includes 1.9 million postpaid subscribers. Brazil, Austria and Colombia were the primary contributors to postpaid subscriber growth. However, the company witnessed net disconnections of 0.8 million in prepaid subscribers. The company had 301 million wireless subscribers at the end of the first quarter.
On the fixed-line, Broadband and Television platforms, the company ended the quarter with 73.4 million revenue-generating units.
The telco operates in multiple regions, namely Mexico, Brazil, Colombia, Peru, Ecuador, Argentina, Central America, the Caribbean, Austria and Other European countries.
Of these countries, Peru witnessed year-over-year revenue growth of 51.2% to 2,414 million Soles. The robust performance was driven by higher fixed-line and service revenues.
Argentina’s revenues came in at ARS 90,721 million, down 8.3% from the year-ago quarter’s levels. The downside was caused by declining service, fixed lines, and wireless revenues. The reported data for Argentina are presented in line with IAS29, reflecting the implications of inflationary accounting as the Argentinean economy is projected to be hyperinflationary for the first quarter of 2023. The company also stated that Argentina will be left out of all comparisons for consolidated data at constant exchange rates to maintain consistency.
Colombia’s revenues remained constant at COP 3,738 billion, owing to an increase in service revenues and partly offset by lower fixed-line revenues.
Revenues from Mexico, Brazil, Ecuador, Central America, the Caribbean, Austria and Other European regions witnessed year-over-year growth of 8.4%, 11%, 3.8%, 6.2%, 29.8%, 2% and 15.5%, respectively.
Other Quarterly Details
Total costs and expenses were Mex$126,218 million, down 0.7% from the year-ago quarter’s levels. Overall, EBITDA increased 3.2% from the prior-year quarter’s levels to Mex$82,708 million. The EBITDA margin came in at 39.6% compared with 39% in the year-earlier quarter. The company’s operating profit increased 9.7% to Mex$44,125 million.
Liquidity
As of Mar 31, 2022, America Movil had Mex$130,373 million in cash, marketable securities and other short-term investments with Mex$332,861 million of long-term debt.
The company has also approved a share-buyback fund for Mex$20 billion between Apr 2023 to Apr 2024.
How Have Estimates Been Moving Since Then?
It turns out, fresh estimates have trended upward during the past month.
The consensus estimate has shifted 57.14% due to these changes.
VGM Scores
Currently, Amer Movil has an average Growth Score of C, however its Momentum Score is doing a bit better with a B. Charting a somewhat similar path, the stock was allocated a grade of A on the value side, putting it in the top quintile for this investment strategy.
Overall, the stock has an aggregate VGM Score of A. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook
Estimates have been trending upward for the stock, and the magnitude of this revision looks promising. It comes with little surprise Amer Movil has a Zacks Rank #2 (Buy). We expect an above average return from the stock in the next few months.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Why Is Amer Movil (AMX) Up 1.9% Since Last Earnings Report?
It has been about a month since the last earnings report for Amer Movil (AMX - Free Report) . Shares have added about 1.9% in that time frame, outperforming the S&P 500.
Will the recent positive trend continue leading up to its next earnings release, or is Amer Movil due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important drivers.
America Movil's Q1 Earnings and Revenues Rise Y/Y
America Movil reported net income per ADR of 51 cents for first-quarter 2023, up from 47 cents reported in the prior-year quarter.
Net income in the March quarter was Mex$30,146 million or Mex$0.48 per share compared with Mex$30,797 million or Mex$0.48 per share in the year-ago quarter.
The company had a comprehensive financing cost of Mex$374 million, down 94.9% from the year-earlier quarter’s comprehensive financing costs of Mex$7,364 million
Revenues
Total quarterly revenues increased 1.7% to Mex$208,926 million owing to solid momentum in the equipment business segment.
Service revenues were Mex$169,053 million, down 2.2% year over year. Equipment revenues totaled Mex$31,233 million, up 2.1%.
America Movil gained 1.1 million wireless subscribers in the first quarter. This figure includes 1.9 million postpaid subscribers. Brazil, Austria and Colombia were the primary contributors to postpaid subscriber growth. However, the company witnessed net disconnections of 0.8 million in prepaid subscribers. The company had 301 million wireless subscribers at the end of the first quarter.
On the fixed-line, Broadband and Television platforms, the company ended the quarter with 73.4 million revenue-generating units.
The telco operates in multiple regions, namely Mexico, Brazil, Colombia, Peru, Ecuador, Argentina, Central America, the Caribbean, Austria and Other European countries.
Of these countries, Peru witnessed year-over-year revenue growth of 51.2% to 2,414 million Soles. The robust performance was driven by higher fixed-line and service revenues.
Argentina’s revenues came in at ARS 90,721 million, down 8.3% from the year-ago quarter’s levels. The downside was caused by declining service, fixed lines, and wireless revenues. The reported data for Argentina are presented in line with IAS29, reflecting the implications of inflationary accounting as the Argentinean economy is projected to be hyperinflationary for the first quarter of 2023. The company also stated that Argentina will be left out of all comparisons for consolidated data at constant exchange rates to maintain consistency.
Colombia’s revenues remained constant at COP 3,738 billion, owing to an increase in service revenues and partly offset by lower fixed-line revenues.
Revenues from Mexico, Brazil, Ecuador, Central America, the Caribbean, Austria and Other European regions witnessed year-over-year growth of 8.4%, 11%, 3.8%, 6.2%, 29.8%, 2% and 15.5%, respectively.
Other Quarterly Details
Total costs and expenses were Mex$126,218 million, down 0.7% from the year-ago quarter’s levels. Overall, EBITDA increased 3.2% from the prior-year quarter’s levels to Mex$82,708 million. The EBITDA margin came in at 39.6% compared with 39% in the year-earlier quarter. The company’s operating profit increased 9.7% to Mex$44,125 million.
Liquidity
As of Mar 31, 2022, America Movil had Mex$130,373 million in cash, marketable securities and other short-term investments with Mex$332,861 million of long-term debt.
The company has also approved a share-buyback fund for Mex$20 billion between Apr 2023 to Apr 2024.
How Have Estimates Been Moving Since Then?
It turns out, fresh estimates have trended upward during the past month.
The consensus estimate has shifted 57.14% due to these changes.
VGM Scores
Currently, Amer Movil has an average Growth Score of C, however its Momentum Score is doing a bit better with a B. Charting a somewhat similar path, the stock was allocated a grade of A on the value side, putting it in the top quintile for this investment strategy.
Overall, the stock has an aggregate VGM Score of A. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook
Estimates have been trending upward for the stock, and the magnitude of this revision looks promising. It comes with little surprise Amer Movil has a Zacks Rank #2 (Buy). We expect an above average return from the stock in the next few months.