Women’s plus-size apparel retailer Torrid Holdings (NYSE:CURV) will be reporting results tomorrow after market close. Here’s what you need to know.
Torrid beat analysts’ revenue expectations by 0.6% last quarter, reporting revenues of $284.6 million, down 1.6% year on year. It was a strong quarter for the company, with EBITDA guidance for next quarter exceeding analysts’ expectations.
Is Torrid a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Torrid’s revenue to grow 3.2% year on year to $284.3 million, a reversal from the 8.3% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.03 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Torrid has missed Wall Street’s revenue estimates twice over the last two years.
Looking at Torrid’s peers in the apparel retailer segment, some have already reported their Q3 results, giving us a hint as to what we can expect. Urban Outfitters delivered year-on-year revenue growth of 6.3%, beating analysts’ expectations by 1.8%, and Gap reported revenues up 1.6%, topping estimates by 0.6%. Urban Outfitters traded up 18.2% following the results while Gap was also up 12.7%.
Read our full analysis of Urban Outfitters’s results here and Gap’s results here.
There has been positive sentiment among investors in the apparel retailer segment, with share prices up 7.9% on average over the last month. Torrid is up 20.2% during the same time and is heading into earnings with an average analyst price target of $5.63 (compared to the current share price of $4.29).
Unless you’ve been living under a rock, it should be obvious by now that generative AI is going to have a huge impact on how large corporations do business. While Nvidia and AMD are trading close to all-time highs, we prefer a lesser-known (but still profitable) semiconductor stock benefiting from the rise of AI. Click here to access our free report on our favorite semiconductor growth story.
