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Fiat Chrysler's (FCAU) Q4 Earnings Miss Estimates, Fall Y/Y

Fiat Chrysler Automobiles N.V.FCAU is an international automotive company. It designs, manufactures, distributes and sells vehicles, components and production systems. The company owns the Abarth, Alfa Romeo, Chrysler, Dodge, Fiat, Fiat Professional, Jeep, Lancia and Ram brands. Fiat Chrysler is benefiting from rising sales in the U.S. and Europe. The company intends to expand vehicle sales in key markets throughout the world. The company also focuses on maintaining cost efficiency.

However, the company is undergoing a challenging phase owing to product recalls. Frequent product recalls increase the company's cost burden and adversely affect results.

We have highlighted some of the key stats from this just-revealed announcement below:

Estimate Trend & Surprise History

Investors should note that the earnings estimate for Fiat Chrysler for the fourth quarter have decreased in the past 7 days.

The company delivered positive earnings surprises in three of the trailing four quarters with an average beat of around 53.74%.

Earnings

Fiat Chrysler's earnings decreased to €0.353 (38 cents) per share in the fourth quarter of 2016, down about 49% from the year-ago quarter, missing the Zacks Consensus Estimate of 39 cents.

Fiat Chrysler Automobiles N.V. Price and EPS Surprise

Fiat Chrysler Automobiles N.V. Price and EPS Surprise | Fiat Chrysler Automobiles N.V. Quote

Revenues

Fiat Chrysler reported revenues of €29.7 billion ($31.9 billion), missing the Zacks Consensus Estimate of $32.48 billion. Revenues were 1% higher than €29.4 billion recorded in the year-ago quarter.

Key Stats/Developments to Note

Fiat Chrysler expects revenue in 2017 to be in the range of €115 billion to €120 ($123.4 billion to $128.8 billion). The company expects adjusted net profit to be over €3 billion ($3.2 billion).

Zacks Rank

Currently, Fiat Chrysler has a Zacks Rank #3 (Hold), but that could change following its earnings report which has just released.

Market Reaction

Fiat Chrysler's shares have been rising in pre-market trading following the release. Clearly, the initial reaction to the report is positive.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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