Pet company Central Garden & Pet (NASDAQ: CENT) will be announcing earnings results this Wednesday after the bell. Here’s what to look for.
Central Garden & Pet missed analysts’ revenue expectations by 5.1% last quarter, reporting revenues of $833.5 million, down 7.4% year on year. It was a slower quarter for the company, with full-year EPS guidance missing analysts’ expectations.
Is Central Garden & Pet a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Central Garden & Pet’s revenue to decline 1.5% year on year to $981.8 million, improving from the 2.6% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.43 per share.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Central Garden & Pet has missed Wall Street’s revenue estimates five times over the last two years.
Looking at Central Garden & Pet’s peers in the household products segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Energizer delivered year-on-year revenue growth of 3.4%, beating analysts’ expectations by 3.1%, and Clorox reported revenues up 4.5%, topping estimates by 3.3%. Clorox traded down 1.8% following the results.
Read our full analysis of Energizer’s results here and Clorox’s results here.
Investors in the household products segment have had fairly steady hands going into earnings, with share prices down 1.1% on average over the last month. Central Garden & Pet is up 15.3% during the same time and is heading into earnings with an average analyst price target of $40.67 (compared to the current share price of $41).
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