Bedding manufacturer Somnigroup (NYSE: SGI) will be announcing earnings results tomorrow morning. Here’s what to expect.
Somnigroup missed analysts’ revenue expectations last quarter, reporting revenues of $1.80 billion, up 12.3% year on year. It was a slower quarter for the company, with full-year EPS guidance slightly missing analysts’ expectations and a miss of analysts’ EBITDA estimates.
Is Somnigroup 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 Somnigroup’s revenue to be flat year on year, slowing from the 52.5% increase 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. Somnigroup has missed Wall Street’s revenue estimates multiple times over the last two years.
Looking at Somnigroup’s peers in the consumer discretionary segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Mohawk Industries delivered year-on-year revenue growth of 6.8%, beating analysts’ expectations by 7.2%, and AMC Entertainment reported revenues up 14.2%, topping estimates by 8.7%. Mohawk Industries traded up 3% following the results while AMC Entertainment was also up 13.4%.
Read our full analysis of Mohawk Industries’s results here and AMC Entertainment’s results here.
Investors in the consumer discretionary segment have had steady hands going into earnings, with share prices up 1.7% on average over the last month. Somnigroup is down 6.5% during the same time and is heading into earnings with an average analyst price target of $97 (compared to the current share price of $69.95).
ALSO WORTH WATCHING: Nvidia’s Quiet Partner. Nvidia’s chips cost a hundred grand. The connectors that make them work cost even more. One company makes them all.
Every AI server needs specialized infrastructure the chip companies don’t make. High-speed cables. Power connectors. Thermal sensors. This 90-year-old company built a monopoly on it. The AI boom just started. This stock is still flying under the radar. Claim The Stock Ticker Here for FREE.
