What To Expect From Overstock’s (OSTK) Q4 Earnings

Anthony Lee /
2023/02/21 3:10 am EST

Online home goods retailer Overstock (NASDAQ: OSTK) will be reporting earnings tomorrow before market hours. Here's what you need to know.

Last quarter Overstock reported revenues of $460.2 million, down 33.2% year on year, missing analyst expectations by 2.66%. It was a weak quarter for the company, with declining number of users and revenue. The company reported 5.8 million active buyers, down 33.3% year on year.

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

This quarter analysts are expecting Overstock's revenue to decline 26.7% year on year to $448.6 million, a further deceleration on the 8.51% year-over-year decrease in revenue the company had recorded in the same quarter last year. Adjusted loss is expected to come in at -$0.02 per share.

Overstock Total Revenue

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

Looking at Overstock's peers in the consumer internet segment, some of them have already reported Q4 earnings results, giving us a hint what we can expect. Roku delivered top-line growth of 0.19% year on year, beating analyst estimates by 7.99% and Airbnb reported revenues up 24.1% year on year, exceeding estimates by 2.21%. Roku traded up 10.8% on the results, Airbnb was up 9.24%. Read our full analysis of Roku's results here and Airbnb's results here.

Investors in the consumer internet segment have had steady hands going into the earnings, with the stocks up on average 0.8% over the last month. Overstock is down 1.43% during the same time, and is heading into the earnings with analyst price target of $40.33, compared to share price of $21.94.

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The author has no position in any of the stocks mentioned.