But some of those original guidances were take down of the forecasts. Because they originally guided to $3.62 and came in at $4.18. Of course, about 17 cents of that difference was due to the tax rate. So take that for what it is worth.
Yeah because AR and INV down while liabilities jumped a bit. If things are so good, why did they NOT BUY BACK any stock at $50? Waiting for it to get to $100 to do so? Bad management. Zero buybacks in 2013, with shares substantially lower then they are currently, even after AH drop.
The problem is that when you beat with $4.18 on the year, 24 cents above estimates, analysts would then expect to bump up future year by at least that amount (was at $4.70). So that gets us to $4.94. Their guidance implies $4.51 currently, so even if they beat, will they even get to that $4.70 or $4.94? Will be tough.
And when you have a stock that's rallied tremendously into this report, expectations are you will deliver. With shares at $85, the "implied" expectation was probably for 12-15% revenue growth on the year and at least 15% earnings growth. Didn't happen.
How about just 8% earnings growth next year after 21% plus this year? How about the fact that earnings are still nearly 27% off their highs? How about the fact that in the coldest winter in decades, they couldn't get any pull through into Q1?
Where do you get those projections? The company basically just guided to about $160 million in profits for 2014. How are they going to grow profits to $250 million the next year? That's $90 million growth, nearly 60%. Not gonna happen.
Net income down 26.8% over past two years. It's about the bottom line. Weak EPS guidance and operating margin going forward. Profitability not coming back as quick as hoped.
Maybe they are holding back in case they have terrible guidance at the next report and they think that shares will drop to $40.
They also have said in the past that they wanted to save the credit facility for inventory, and that they did not want to use the facility/debt for the buyback if possible.
Apparently, you can't do math.
Full year forecast raised from 5% to 8%, a gain of 3%.
Last year's EPS was $3.45, meaning 3% is roughly 10 cents.
They beat in Q2 by 25 cents over their guidance for a loss of $1.10.
So they raise full year forecast by 10 cents after a 25 cent beat? That means that they warned by 15 cents.
And they didn't provide gross margin or operating margin guidance.
and how much did they say they would rise last year for Q4?
14% isn't much considering the store rollout and Pure...
Miss on Q2 revenues, beat on earnings. Miss on Q3 EPS guidance. Beat on Q3 revenue guidance. Q4 guidance fairly decent.
Good report, but not great, which is why shares are selling off.