Earnings Previews: Nordstrom, Petco, Toll Brothers, Urban Outfitters

When the company reports third-quarter 2022 results, analysts expect to see revenue of $2.52 billion, up 10.5% sequentially and by 11.5% year over year. Adjusted EPS are forecast at $2.29, up 24% sequentially and 22.5% higher year over year. For the full 2022 fiscal year ending in October, analysts expect EPS of $10.17, up 53.4%, on sales of $10.32 billion, up 17.4%.

Toll Brothers stock trades at 4.6 times expected 2022 EPS, 4.4 times estimated 2023 earnings of $10.62 and 4.7 times estimated 2024 earnings of $10.16 per share. The stock’s 52-week range is $40.20 to $75.61. The company pays an annual dividend of $0.74 (yield of 1.57%). Total shareholder return for the past year was negative 17.2%.

Urban Outfitters

Specialty retailer Urban Outfitters Inc. (NASDAQ: URBN) has seen its share price tumble by about 39% over the past 12 months. Since reaching a peak almost exactly one year ago, the stock has fallen by more than 45%. Prior-quarter sales rose sharply year over year, but margins and profits were hurt by higher costs for shipping and labor. Margins could get hit again due to inventory clearing. How all this will shape the second half of the year is what investors will want to hear about. The company reports results late on Tuesday.

Analysts are cautious on the stock, with nine of 14 having a Hold rating and the other five rating the stock at Buy. At a share price of around $22.30, the implied upside based on a median price target of $23.50 is 5.4%. At the high target of $36.50, the implied gain is 63.7%.

Second-quarter fiscal 2023 revenue is forecast to come in at $1.18 billion, up 12.5% sequentially and 1.7% year over year. Analysts are forecasting EPS of $0.70, up almost 112% sequentially but down 45.3% year over year. For the full 2023 fiscal year ending in January, analysts currently expect EPS of $2.28, down 27.2%, on sales of $4.8 billion, up 5.6%.

Urban Outfitters stock trades at 9.8 times expected 2023 EPS, 8.6 times estimated 2024 earnings of $2.58 and 7.8 times estimated 2025 earnings of $2.94 per share. The stock’s 52-week range is $17.81 to $41.03. The company does not pay a dividend, and the total shareholder return for the past year was negative 38.9%.

Originally posted at 24/7 Wall St.

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