Pet company Central Garden & Pet (NASDAQ: CENT) will be reporting results tomorrow after market close. Here’s what investors should know.
Central Garden & Pet beat analysts’ revenue expectations by 4.4% last quarter, reporting revenues of $656.4 million, up 3.5% year on year. It was an exceptional quarter for the company, with an impressive beat of analysts’ EPS estimates and a solid beat of analysts’ EBITDA estimates.
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 2.4% year on year to $878.8 million, a deceleration from its flat revenue in the same quarter last year. Adjusted earnings are expected to come in at $0.93 per share.
Analysts covering the company have generally 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 four times over the last two years.
Looking at Central Garden & Pet’s peers in the household products segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Clorox’s revenues decreased 8% year on year, missing analysts’ expectations by 3.3%, and Colgate-Palmolive reported a revenue decline of 3.1%, topping estimates by 0.6%. Colgate-Palmolive traded down 1.8% following the results.
Read our full analysis of Clorox’s results here and Colgate-Palmolive’s results here.
There has been positive sentiment among investors in the household products segment, with share prices up 2.1% on average over the last month. Central Garden & Pet’s stock price was unchanged during the same time and is heading into earnings with an average analyst price target of $42.33 (compared to the current share price of $35.13).
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