NEW YORK (TheStreet) -- Shares of Darling Ingredients (DAR - Get Report) were gaining 8.8% to $15.33 Friday after the waste management company beat analysts' estimates for earnings in the first quarter.
Darling Ingredients reported earnings of 9 cents a share for the first quarter, above analysts' estimates of 7 cents a share for the quarter. Revenue fell 7.6% year over year to $874.69 million for the quarter, below analysts' estimates of $900.34 million for the quarter.
Revenue from the Feed Ingredients segment fell to $547.5 million in the first quarter from $586.1 million in the year-ago quarter.
"On a sequential basis, we have executed on a number of changes to improve operating performance in light of lower grain, protein and fat prices worldwide flowing through our business segments," Chairman and CEO Randall Stuewe said. "We continue to focus on margin management, operating efficiencies and reduced administrative costs to offset the headwinds."
TheStreet Ratings team rates DARLING INGREDIENTS INC as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation:
"We rate DARLING INGREDIENTS INC (DAR) a HOLD. The primary factors that have impacted our rating are mixed some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its robust revenue growth, good cash flow from operations and increase in net income. However, as a counter to these strengths, we also find weaknesses including a generally disappointing performance in the stock itself, disappointing return on equity and poor profit margins."
You can view the full analysis from the report here: DAR Ratings Report