HD Supply Holdings (HDS) is scheduled to report its second-quarter earnings on Wednesday before the market opens. Analysts expect the industrial distributor’s earnings and revenue to exceed their expectations.
Analysts, on average, expect the company to post earnings of $0.96 per share for the second quarter compared to the profit of $0.64 per share in the previous year quarter. Revenue is predicted to increase by 16.8% to $1.58 billion. Most of the analysts are recommending a “hold” rating with an average price target of $48.55.
The company had posted successive earnings surprise in three of the past four quarters. Investors are looking forward to a profit surprise in the second quarter with analysts expecting a 50% year-over-year growth. Growth estimates are likely to rise by 41.1% per annum in the current year and 0.3% in the next year.
During the recently completed first-quarter, higher sales and organic sales growth of 9.9% drove the bottom line higher by 4.7%. The top line rose by 14.2% helped by the return from the company’s growth investments. Sales from Facilities Maintenance rose 6% and that from Construction & Industrial jumped 24.3%.
For full-year 2018, the company had predicted adjusted earnings in the range of $3.11 to $3.27 per share and net sales in the range of $5.82 billion to $5.94 billion. Adjusted EBITDA is estimated to be in the range of $832 million to $862 million.
Investors expect the company’s Q2 bottom line to be benefited by higher sales from Construction & Industrial segment. Traders are predicting HD Supply to upgrade its full-year guidance. Zacks Equity Research believes that the industrial distributor appears as a compelling earnings-beat candidate.
Shares of HD Supply opened lower and dropped down by 1.25% to $45.02 when the Tuesday’s session ended as investors were cautious ahead of the earnings release. The stock had risen more than 12% so far this year and about 37% in the past one year.
Video game retailer GameStop Corp. (NYSE: GME), which has become the talk of the town after the unprecedented stock rally in recent weeks, reported a narrower loss for the first
The steel industry managed to shrug off the pandemic blues earlier than expected as the recovery in industrial activity pushed up demand. With the vaccination drive and the government’s aggressive
Campbell Soup Company (NYSE: CPB) reported third-quarter 2021 earnings results today. Net sales decreased 11% year-over-year to $1.98 billion, as a result of lapping the demand surge at the onset