Academy Sports (ASO) Q4 Earnings Report Preview: What To Look For

Kayode Omotosho /
2024/03/20 3:01 am EDT

Sporting goods retailer Academy Sports & Outdoor (NASDAQ:ASO) will be reporting earnings tomorrow before the bell. Here's what to look for.

Last quarter Academy Sports reported revenues of $1.40 billion, down 6.4% year on year, missing analyst expectations by 3%. It was a weak quarter for the company, with a miss of analysts' same-store sales, revenue, and EPS expectations. 

Is Academy Sports buy or sell heading into the earnings? Read our full analysis here, it's free.

This quarter analysts are expecting Academy Sports's revenue to grow 2.9% year on year to $1.80 billion, improving on the 3.4% year-over-year decline in revenue the company had recorded in the same quarter last year. Adjusted earnings are expected to come in at $2.30 per share.

Academy Sports Total Revenue

The analysts covering the company have been growing increasingly bullish about the business heading into the earnings, with revenue estimates seeing three upward revisions over the last thirty days. The company missed Wall St's revenue estimates five times over the last two years.

Looking at Academy Sports's peers in the specialty retail segment, some of them have already reported Q4 earnings results, giving us a hint of what we can expect. Ulta delivered top-line growth of 10.2% year on year, beating analyst estimates by 0.8% and Best Buy Co reported revenue decline of 0.6% year on year, exceeding estimates by 0.6%. Ulta traded down 3.5% on the results, Best Buy Co was up 2.7%.

Read our full analysis of Ulta's results here and Best Buy Co's results here.

Investors in the specialty retail segment have had steady hands going into the earnings, with the stocks up on average 1.6% over the last month. Academy Sports is up 1.9% during the same time, and is heading into the earnings with analyst price target of $76.5, compared to share price of $71.

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