Intimatewear and beauty retailer Victoria’s Secret (NYSE:VSCO) will be reporting results tomorrow after market hours. Here's what to expect.
Last quarter Victoria's Secret reported revenues of $1.27 billion, down 4% year on year, missing analyst expectations by 0.4%. It was a weaker quarter for the company, with underwhelming earnings guidance for the full year and a miss of analysts' earnings estimates.
Is Victoria's Secret buy or sell heading into the earnings? Find out by reading the original article on StockStory.
This quarter analysts are expecting Victoria's Secret's revenue to grow 3.1% year on year to $2.08 billion, improving on the 7.1% year-over-year decline in revenue the company had recorded in the same quarter last year. Adjusted earnings are expected to come in at $2.46 per share.
Majority of analysts covering the company have reconfirmed their estimates over the last thirty days, suggesting they are expecting the business to stay the course heading into the earnings. The company missed Wall St's revenue estimates five times over the last two years.
Looking at Victoria's Secret's peers in the apparel and footwear retail segment, some of them have already reported Q4 earnings results, giving us a hint of what we can expect. Urban Outfitters (NASDAQ:URBN) delivered top-line growth of 7.3% year on year, missing analyst estimates by 1% and TJX (NYSE:TJX) reported revenues up 13% year on year, exceeding estimates by 1.4%. Urban Outfitters traded down 6.3% on the results, and TJX was flat on the results.
Read the full analysis of Urban Outfitters's and TJX's results on StockStory.
There has been positive sentiment among investors in the apparel and footwear retail segment, with the stocks up on average 9.8% over the last month. Victoria's Secret is down 1.5% during the same time, and is heading into the earnings with analyst price target of $27.2, compared to share price of $26.47.