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Can Express and Guess Keep Up the Retail Stock Earnings Trend?

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Today’s video takes a closer look at the retail sector and a few more companies reporting this week.

Retail stocks have been very hot this earnings season, as several have surged in recent trading, and appear poised for longer term gains too. A big reason for the gains has been slightly better outlooks, while estimate-beating results haven’t hurt either.

Most have been able to fall in-line with this trend lately, but those which have not were severely punished with big losses in terms of share prices, further compounding the woes in this already-troubled space. Given this established trend line, it will be paramount for the few remaining companies to beat estimates and post solid outlooks. Let’s see how this week’s crop is looking ahead of their reports…

Express

Express is coming off of an earnings miss in its most recent report, but it was actually a decent performer in earnings up until that point. Still, estimates have been trending lower despite a solid fundamental score, and the stock has recently fallen to a Zacks Rank #4 (sell). Add in a negative earnings ESP and it is hard to like this stock going into its release.

EXPRESS INC Price, Consensus and EPS Surprise

EXPRESS INC Price, Consensus and EPS Surprise | EXPRESS INC Quote

Express reports before the bell on 8/24.

 

Guess? (GES - Free Report)

Guess? also has a sluggish track record when it comes to its recent earnings history, as the company is coming off of two straight misses including a 20% miss in the last report. And with declining earnings estimates heading into the release, it shouldn’t be a surprise that the company has a Zacks Rank #4 (sell) right now. There is one silver lining for GES though, and that is it has a massive earnings ESP, suggesting the most recent estimates are more bullish. GES investors need to hope that these projections are right if they have any chance of breaking the streak at earnings season.

GUESS INC Price, Consensus and EPS Surprise

GUESS INC Price, Consensus and EPS Surprise | GUESS INC Quote

Guess? Reports after the bell on 8/24.

 

For more in-depth analysis of these companies, make sure to watch our short video on the topic. And for additional insights on trading earnings reports, check out our podcast below:


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