Uncovering Potential: Zumiez's Earnings Preview

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Zumiez ZUMZ is set to give its latest quarterly earnings report on Thursday, 2024-12-05. Here's what investors need to know before the announcement.

Analysts estimate that Zumiez will report an earnings per share (EPS) of $0.03.

Investors in Zumiez are eagerly awaiting the company's announcement, hoping for news of surpassing estimates and positive guidance for the next quarter.

It's worth noting for new investors that stock prices can be heavily influenced by future projections rather than just past performance.

Performance in Previous Earnings

In the previous earnings release, the company beat EPS by $0.29, leading to a 3.97% increase in the share price the following trading session.

Here's a look at Zumiez's past performance and the resulting price change:

Quarter Q2 2024 Q1 2024 Q4 2023 Q3 2023
EPS Estimate -0.33 -1.14 0.26 -0.18
EPS Actual -0.04 -0.86 0.40 -0.12
Price Change % 4.0% -3.0% -8.0% 12.0%

eps graph

Tracking Zumiez's Stock Performance

Shares of Zumiez were trading at $22.54 as of December 03. Over the last 52-week period, shares are up 17.46%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.

Insights Shared by Analysts on Zumiez

For investors, grasping market sentiments and expectations in the industry is vital. This analysis explores the latest insights regarding Zumiez.

The consensus rating for Zumiez is Neutral, derived from 1 analyst ratings. An average one-year price target of $25.0 implies a potential 10.91% upside.

Comparing Ratings with Peers

This comparison focuses on the analyst ratings and average 1-year price targets of Lands' End, J.Jill and Designer Brands, three major players in the industry, shedding light on their relative performance expectations and market positioning.

  • Lands' End is maintaining an Buy status according to analysts, with an average 1-year price target of $20.0, indicating a potential 11.27% downside.
  • J.Jill received a Neutral consensus from analysts, with an average 1-year price target of $31.5, implying a potential 39.75% upside.
  • For Designer Brands, analysts project an Neutral trajectory, with an average 1-year price target of $6.88, indicating a potential 69.48% downside.

Overview of Peer Analysis

The peer analysis summary offers a detailed examination of key metrics for Lands' End, J.Jill and Designer Brands, providing valuable insights into their respective standings within the industry and their market positions and comparative performance.

Company Consensus Revenue Growth Gross Profit Return on Equity
Zumiez Neutral 8.10% $71.79M -0.26%
Lands' End Buy -1.91% $151.88M -2.28%
J.Jill Neutral -0.89% $109.39M 11.42%
Designer Brands Neutral -2.56% $252.91M 3.87%

Key Takeaway:

Zumiez ranks at the top for Revenue Growth among its peers. It is at the bottom for Gross Profit and Return on Equity. Overall, Zumiez is positioned in the middle compared to its peers based on the provided metrics.

About Zumiez

Zumiez Inc is a United-States-based specialty retailer engaged in the sale of apparel, footwear, accessories, and hard goods. The company provides merchandise with cultural elements coming from fashion, music, art from action sports, streetwear, and other lifestyles. The company operates under the brands Zumiez, Fast Times, and Blue Tomato, and through both physical stores and websites. The majority of the company's stores are located in the U.S., with the rest in Canada, Australia, and Europe. The U.S. market contributes to the majority of the company's revenue.

Zumiez's Financial Performance

Market Capitalization Analysis: Falling below industry benchmarks, the company's market capitalization reflects a reduced size compared to peers. This positioning may be influenced by factors such as growth expectations or operational capacity.

Revenue Growth: Over the 3 months period, Zumiez showcased positive performance, achieving a revenue growth rate of 8.1% as of 31 July, 2024. This reflects a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Consumer Discretionary sector.

Net Margin: Zumiez's net margin is below industry standards, pointing towards difficulties in achieving strong profitability. With a net margin of -0.4%, the company may encounter challenges in effective cost control.

Return on Equity (ROE): Zumiez's ROE lags behind industry averages, suggesting challenges in maximizing returns on equity capital. With an ROE of -0.26%, the company may face hurdles in achieving optimal financial performance.

Return on Assets (ROA): Zumiez's ROA is below industry averages, indicating potential challenges in efficiently utilizing assets. With an ROA of -0.13%, the company may face hurdles in achieving optimal financial returns.

Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.7.

To track all earnings releases for Zumiez visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.

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