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3 Retail Stocks That Crushed Earnings Estimates This Season

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Fourth-quarter earnings season is finally starting to wrap up, and despite the sudden return of volatility to global stock markets, investors have plenty of strong new reports to consider in the coming weeks and days.

One thing investors are always looking for during reporting season is a plethora of earnings beats. Strong growth and positive consumer trends are always great, but investors want to see companies exceed expectations and post surprises.

Another thing to consider during Q4 report season is the importance of holiday shopping results within the retail sector. Much has been made about the death of brick-and-mortar retail, but in truth, many traditional companies are adapting to the times, while a number of specialty retailers have carved out their own pockets of success.

Regardless, the holiday season has the potential to make or break of retailer’s fiscal year. Now that we are on the other side of the bulk of Q4’s earnings announcements, we can see that several notable companies performed particularly well.

Today, we have decided to highlight a few of these great retail earnings reports. Check out these five retail stocks that recently crushed earnings estimates!

1.       Aaron’s, Inc. (AAN - Free Report)

Aaron’s is engaged sales and lease ownership of residential and office furniture, consumer electronics, home appliances and accessories. The company just reported its Q4 results last week, posting adjusted earnings that surpassed our Zacks Consensus Estimate by more than 20%. Management also reported stronger-than-expected revenues and guided for fiscal 2018 earnings in the high end of our previous range. AAN’s earnings beat was its fifth in the last six quarters, and the stock is now sporting a Zacks Rank #2 (Buy).

 

2.       Advance Auto Parts, Inc. (AAP - Free Report)

Advance Auto Parts is a leading automotive aftermarket parts provider, serving both the professional installer and do-it-yourself customers. The company filed its Q4 report on Wednesday morning, reporting earnings that topped the Zacks Consensus Estimate by nearly 18.5%. Advance Auto Parts also reported revenues of $2.04 billion, beating the Zacks Consensus Estimate of $2.02 billion. Management has now notched two-consecutive positive earnings surprises, and AAP is currently holding a Zacks Rank #2 (Buy).

 

3.       PetMed Express, Inc. (PETS - Free Report)

PetMed Express operates through 1-800-PetMeds, an online retailer that sells drugs for pets in its digital pharmacy. PETS reported its latest quarterly results last month, posting adjusted earnings of 44 cents per share and crushing our Zacks Consensus Estimate by more than 33%. The company also reported total revenues of $60 million, surpassing our consensus estimate of $58 million and expanding from the $53 million witnessed in the prior-year period. PETS is currently holding a Zacks Rank #1 (Strong Buy).

 

Want more market analysis from this author? Make sure to follow @Ryan_McQueeney on Twitter!

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