GMS (GMS) got here out with quarterly earnings of $0.92 per share, lacking the Zacks Consensus Estimate of $1.39 per share. This compares to earnings of $1.60 per share a yr in the past. These figures are adjusted for non-recurring gadgets.
This quarterly report represents an earnings shock of -33.81%. 1 / 4 in the past, it was anticipated that this firm would put up earnings of $2.26 per share when it really produced earnings of $2.02, delivering a shock of -10.62%.
Over the past 4 quarters, the corporate has not been capable of surpass consensus EPS estimates.
GMS
The sustainability of the inventory’s quick value motion based mostly on the recently-released numbers and future earnings expectations will principally depend upon administration’s commentary on the earnings name.
GMS shares have misplaced about 7.1% because the starting of the yr versus the S&P 500’s decline of -0.7%.
What’s Subsequent for GMS?
Whereas GMS has underperformed the market thus far this yr, the query that involves traders’ minds is: what’s subsequent for the inventory?
There aren’t any simple solutions to this key query, however one dependable measure that may assist traders handle that is the corporate’s earnings outlook. Not solely does this embrace present consensus earnings expectations for the approaching quarter(s), but additionally how these expectations have modified these days.
Empirical analysis reveals a powerful correlation between near-term inventory actions and traits in earnings estimate revisions. Traders can observe such revisions by themselves or depend on a tried-and-tested ranking device just like the Zacks Rank, which has a powerful observe file of harnessing the ability of earnings estimate revisions.
Forward of this earnings release, the estimate revisions development for GMS: blended. Whereas the magnitude and course of estimate revisions might change following the corporate’s just-released earnings report, the present standing interprets right into a Zacks Rank #3 (Maintain) for the inventory. So, the shares are anticipated to carry out in step with the market within the close to future. You possibly can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
It is going to be fascinating to see how estimates for the approaching quarters and present fiscal yr change within the days forward. The present consensus EPS estimate is $1.87 on $1.41 billion in revenues for the approaching quarter and $7.26 on $5.62 billion in revenues for the present fiscal yr.
Traders needs to be aware of the truth that the outlook for the trade can have a cloth affect on the efficiency of the inventory as properly. When it comes to the Zacks Business Rank, Constructing Merchandise – Retail is at the moment within the backside 12% of the 250 plus Zacks industries. Our analysis reveals that the highest 50% of the Zacks-ranked industries outperform the underside 50% by an element of greater than 2 to 1.
Kohl’s (KSS), one other inventory within the broader Zacks Retail-Wholesale sector, has but to report outcomes for the quarter ended January 2025. The outcomes are anticipated to be launched on March 11.
This division retailer operator is anticipated to put up quarterly earnings of $0.72 per share in its upcoming report, which represents a year-over-year change of -56.9%. The consensus EPS estimate for the quarter has been revised 52.2% decrease during the last 30 days to the present degree.
Kohl’s’ revenues are anticipated to be $5.35 billion, down 10.2% from the year-ago quarter.
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GMS Inc. (GMS) : Free Stock Analysis Report
Kohl’s Corporation (KSS) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
The views and opinions expressed herein are the views and opinions of the writer and don’t essentially replicate these of Nasdaq, Inc.
