Outdoor specialty retailer Sportsman's Warehouse (NASDAQ:SPWH) will be reporting results tomorrow after market close. Here’s what to expect.
Sportsman's Warehouse beat analysts’ revenue expectations by 1.3% last quarter, reporting revenues of $288.7 million, down 6.7% year on year. It was a softer quarter for the company, with a significant miss of analysts’ EBITDA and gross margin estimates.
Is Sportsman's Warehouse a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Sportsman's Warehouse’s revenue to decline 11.8% year on year to $300.5 million, a further deceleration from the 5.3% decrease it recorded in the same quarter last year. Adjusted loss is expected to come in at -$0.02 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. Sportsman's Warehouse has missed Wall Street’s revenue estimates three times over the last two years.
Looking at Sportsman's Warehouse’s peers in the specialty retail segment, some have already reported their Q3 results, giving us a hint as to what we can expect. Dick's posted flat year-on-year revenue, beating analysts’ expectations by 0.9%, and Ulta reported revenues up 1.7%, topping estimates by 1.3%. Dick’s stock price was unchanged after the results, while Ulta was up 8.9%.
Read our full analysis of Dick’s results here and Ulta’s results here.
There has been positive sentiment among investors in the specialty retail segment, with share prices up 5.7% on average over the last month. Sportsman's Warehouse is down 16.3% during the same time and is heading into earnings with an average analyst price target of $2.90 (compared to the current share price of $2.05).
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