Earnings To Watch: Sportsman's Warehouse (SPWH) Reports Q3 Results Tomorrow

Max Juang /
2023/12/05 2:01 am EST

Outdoor specialty retailer Sportsman's Warehouse (NASDAQ:SPWH) will be reporting earnings tomorrow after market hours. Here's what to look for.

Last quarter Sportsman's Warehouse reported revenues of $309.5 million, down 11.8% year on year, missing analyst expectations by 5.1%. It was a weak quarter for the company, with revenue and EPS falling below below Wall Street's estimates. Its full-year revenue guidance also came in significantly below analysts' expectations.

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

This quarter analysts are expecting Sportsman's Warehouse's revenue to decline 9.9% year on year to $323.9 million, a further deceleration on the 10.3% year-over-year decrease in revenue the company had recorded in the same quarter last year. Adjusted loss is expected to come in at -$0.12 per share.

Sportsman's Warehouse Total Revenue

The analysts covering the company have been growing increasingly bullish about the business heading into the earnings, with revenue estimates seeing two upwards revisions over the last thirty days. The company only missed Wall St's revenue estimates once over the last two years, and has on average exceeded top line expectations by 0.8%.

Looking at Sportsman's Warehouse's peers in the specialty retail segment, some of them have already reported Q3 earnings results, giving us a hint of what we can expect. Academy Sports's revenues decreased 6.4% year on year, missing analyst estimates by 3% and Best Buy Co reported revenue decline of 7.8% year on year, missing analyst estimates by 1.4%. Academy Sports traded down 5.3% on the results, and Best Buy Co was down 2.3%.

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

There has been positive sentiment among investors in the specialty retail segment, with the stocks up on average 13.4% over the last month. Sportsman's Warehouse is up 4.8% during the same time, and is heading into the earnings with analyst price target of $5.8, compared to share price of $5.3.

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