Back to top

Image: Bigstock

Flowers Foods (FLO) Queued for Q2 Earnings: Things to Note

Read MoreHide Full Article

Flowers Foods, Inc. (FLO - Free Report) is likely to register a decline in the top and the bottom line when it reports second-quarter fiscal 2021 numbers on Aug 12. The Zacks Consensus Estimate for revenues is pegged at $1,009 million, which suggests a decline of 1.6% from the figure reported in the prior-year quarter.

The Zacks Consensus Estimate for quarterly earnings has remained unchanged in the past 30 days at 28 cents per share. The figure suggests a slump of 15.2% from the year-ago quarter’s reported figure. The producer and marketer of packaged bakery products has a trailing four-quarter earnings surprise of 12.5%, on average. Flowers Foods delivered an earnings surprise of 10.8% in the last reported quarter.

Flowers Foods, Inc. Price and EPS Surprise

 

Flowers Foods, Inc. Price and EPS Surprise

Flowers Foods, Inc. price-eps-surprise | Flowers Foods, Inc. Quote

 

Things to Note

Flowers Foods’ is grappling with reduced volumes for a while. The company’s performance in first-quarter fiscal 2021 was challenged by reduced volumes to the tune of 6.9% owing to unfavorable year-over-year comparisons in most channels. The company’s guidance for fiscal 2021 reflects year-over-year declines in sales and earnings per share. These factors raise concerns over second-quarter fiscal 2021 performance.

That being said, Flowers Foods is focused on core priorities, which include developing its team, concentrating on brands and prioritizing margins among others. The company’s Project Centennial, which is aimed at streamlining operations, fueling efficiencies, improving margins by curtailing cost and optimizing supply chain among other initiatives bodes well.

What the Zacks Model Unveils

Our proven model doesn’t conclusively predict an earnings beat for Flowers Foods 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.

Flowers Foods currently carries a Zacks Rank #3 and has an Earnings ESP of 0.00%.

Some Stocks With Favorable Combinations

Here are some companies that you may want to consider as our model shows that these have the right combination of elements to post an earnings beat in the to-be-reported quarter.

Chewy, Inc. (CHWY - Free Report) currently has an Earnings ESP of +20.00% and a Zacks Rank of 1. You can see the complete list of today’s Zacks #1 Rank stocks here.

Darling Ingredients Inc. (DAR - Free Report) currently has an Earnings ESP of +10.09% and carries a Zacks Rank #2.

ThredUp Inc. (TDUP - Free Report) currently has an Earnings ESP of +5.46% and a Zacks Rank of 2.

Published in