Pet company Central Garden & Pet (NASDAQ: CENT) will be reporting results this Wednesday afternoon. Here’s what to expect.
Central Garden & Pet beat analysts’ revenue expectations last quarter, reporting revenues of $906.2 million, up 8.7% year on year. It was a strong quarter for the company, with a solid beat of analysts’ EBITDA estimates and a beat of analysts’ EPS estimates.
Is Central Garden & Pet a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting Central Garden & Pet’s revenue to decline 8.8% year on year, a further deceleration from the 3.6% decrease it recorded in the same quarter last year.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business will stay the course heading into earnings. Central Garden & Pet has missed Wall Street’s revenue estimates multiple times over the last two years.
Looking at Central Garden & Pet’s peers in the household products segment, some have already reported their Q2 results, giving us a hint as to what we can expect. WD-40 delivered year-on-year revenue growth of 24.3%, beating analysts’ expectations by 12.9%, and Reynolds reported flat revenue, topping estimates by 1.1%. WD-40 traded up 10.6% following the results while Reynolds was down 2.1%.
Read our full analysis of WD-40’s results here and Reynolds’s results here.
Investors in the household products segment have had steady hands going into earnings, with share prices up 1.4% on average over the last month. Central Garden & Pet is up 1.7% during the same time and is heading into earnings with an average analyst price target of $47.50 (compared to the current share price of $43.56).
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