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Arhaus, Inc. (ARHS) Soars 7.7%: Is Further Upside Left in the Stock?

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Arhaus, Inc. (ARHS - Free Report) shares ended the last trading session 7.7% higher at $13.92. The jump came on an impressive volume with a higher-than-average number of shares changing hands in the session. This compares to the stock's 39.8% gain over the past four weeks.

Strong consumer demand, new collections, brand awareness and ramp-up of new showrooms have been driving Arhus’ top-line performance. The company envisions comparable growth in the band of 51-51.4% for fiscal 2022.

This company is expected to post quarterly earnings of $0.19 per share in its upcoming report, which represents a year-over-year change of +35.7%. Revenues are expected to be $354.14 million, up 48.7% from the year-ago quarter.

Earnings and revenue growth expectations certainly give a good sense of the potential strength in a stock, but empirical research shows that trends in earnings estimate revisions are strongly correlated with near-term stock price movements.

For Arhaus, Inc., the consensus EPS estimate for the quarter has remained unchanged over the last 30 days. And a stock's price usually doesn't keep moving higher in the absence of any trend in earnings estimate revisions. So, make sure to keep an eye on ARHS going forward to see if this recent jump can turn into more strength down the road.

The stock currently carries a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>

Arhaus, Inc. belongs to the Zacks Retail - Miscellaneous industry. Another stock from the same industry, Dick's Sporting Goods (DKS - Free Report) , closed the last trading session 2.4% higher at $126.01. Over the past month, DKS has returned 10.8%.

Dick's' consensus EPS estimate for the upcoming report has changed +0.6% over the past month to $2.87. Compared to the company's year-ago EPS, this represents a change of -21.2%. Dick's currently boasts a Zacks Rank of #2 (Buy).


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