We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Purple Innovation (PRPL) to Post Q2 Earnings: What's in Store?
Read MoreHide Full Article
Purple Innovation, Inc. (PRPL - Free Report) — a renowned mattress and pillows manufacturing company — is likely to register top-line growth when it reports second-quarter 2021 results on Aug 9, after market close. The Zacks Consensus Estimate for revenues is pegged at $182.5 million, which indicates growth of 10.5% from the prior-year quarter’s reported figure.
The Zacks Consensus Estimate for second-quarter earnings currently stands at 13 cents per share, indicating a plunge of 73.5% from the prior-year quarter’s reported figure. The consensus mark has improved by a penny in the past 30 days. The company’s earnings missed the Zacks Consensus Estimate in the last two reported quarters.
Key Aspects to Note
Purple Innovation’s top line during the second quarter is likely to have gained from strong demand across direct-to-consumer (DTC) and wholesale channels. The company has been gaining from growth in categories such as mattresses, pillows, sheets and seat cushions, as individuals spend more time indoors amid the pandemic and are inclined toward making homes a comfortable space.
The company has been focusing on boosting assortments, capabilities in the DTC channel and opening new showrooms. Such efforts along with well-chalked promotional strategies are likely to have complemented its performance during the quarter. The company had earlier stated that revenues for the second quarter are expected in the bracket of $175-$185 million.
Purple Innovation is likely to have faced production challenges due to an accident, which incurred during the quarter. While fixing the machines, several mechanical and maintenance issues had cropped up. This adversely impacted production levels and induced shipment backlogs to a certain extent. Such production challenges and associated costs are likely to have adversely impacted the company’s performance. Also, impacts from rise in marketing and selling expenses cannot be ignored.
PURPLE INNOVATION, INC. Price, Consensus and EPS Surprise
Our proven model does not conclusively predict an earnings beat for Purple Innovation this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Purple Innovation has a Zacks Rank #4 and an Earnings ESP of -5.88%.
Stocks With Favorable Combination
Here are some companies you may want to consider as our model shows that they have the right combination of elements to post an earnings beat:
Image: Shutterstock
Purple Innovation (PRPL) to Post Q2 Earnings: What's in Store?
Purple Innovation, Inc. (PRPL - Free Report) — a renowned mattress and pillows manufacturing company — is likely to register top-line growth when it reports second-quarter 2021 results on Aug 9, after market close. The Zacks Consensus Estimate for revenues is pegged at $182.5 million, which indicates growth of 10.5% from the prior-year quarter’s reported figure.
The Zacks Consensus Estimate for second-quarter earnings currently stands at 13 cents per share, indicating a plunge of 73.5% from the prior-year quarter’s reported figure. The consensus mark has improved by a penny in the past 30 days. The company’s earnings missed the Zacks Consensus Estimate in the last two reported quarters.
Key Aspects to Note
Purple Innovation’s top line during the second quarter is likely to have gained from strong demand across direct-to-consumer (DTC) and wholesale channels. The company has been gaining from growth in categories such as mattresses, pillows, sheets and seat cushions, as individuals spend more time indoors amid the pandemic and are inclined toward making homes a comfortable space.
The company has been focusing on boosting assortments, capabilities in the DTC channel and opening new showrooms. Such efforts along with well-chalked promotional strategies are likely to have complemented its performance during the quarter. The company had earlier stated that revenues for the second quarter are expected in the bracket of $175-$185 million.
Purple Innovation is likely to have faced production challenges due to an accident, which incurred during the quarter. While fixing the machines, several mechanical and maintenance issues had cropped up. This adversely impacted production levels and induced shipment backlogs to a certain extent. Such production challenges and associated costs are likely to have adversely impacted the company’s performance. Also, impacts from rise in marketing and selling expenses cannot be ignored.
PURPLE INNOVATION, INC. Price, Consensus and EPS Surprise
PURPLE INNOVATION, INC. price-consensus-eps-surprise-chart | PURPLE INNOVATION, INC. Quote
What the Zacks Model Unveils
Our proven model does not conclusively predict an earnings beat for Purple Innovation this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Purple Innovation has a Zacks Rank #4 and an Earnings ESP of -5.88%.
Stocks With Favorable Combination
Here are some companies you may want to consider as our model shows that they have the right combination of elements to post an earnings beat:
Target Corporation (TGT - Free Report) has an Earnings ESP of +0.62% and a Zacks Rank #2, at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
Costco Wholesale Corporation (COST - Free Report) currently has an Earnings ESP of +1.07% and a Zacks Rank #3.
Bed Bath & Beyond Inc. currently has an Earnings ESP of +1.70% and a Zacks Rank #3.