Market Overview

Earnings Outlook For Chico's FAS


On Tuesday, November 24, Chico's FAS (NYSE: CHS) will release its latest earnings report. Here is Benzinga's outlook for the company.

What Are Earnings, Net Income, And Earnings Per Share?

Earnings and especially earnings per share (EPS) are useful measures of a company's profitability. Total earnings, which is also referred to as net income, equals total revenue minus total expenses. EPS equals to net income divided by the number of shares outstanding.

Earnings And Revenue

Based on Chico's FAS management projections, analysts predict EPS of $0.16 on revenue of $376.72 million. In the same quarter last year, Chico's FAS reported a loss per share of $0.04 on revenue of $484.71 million.

What Are Analyst Estimates And Earnings Surprises, And Why Do They Matter?

Analysts who cover this company will publish forward-looking estimates of its revenue and EPS each quarter. Averaging together every EPS and revenue prediction that each analyst makes about a company in a quarter yields the "consensus estimates." A company posting earnings or revenue above or below the consensus estimate is known as an "earnings surprise" and may move the stock by a considerable margin.

If the company were to report earnings in line when it publishes results Tuesday, earnings would be down 300.0%. Sales would be down 22.28% on a year-over-year basis. Chico's FAS's reported EPS has stacked up against analyst estimates in the past like this:

Quarter Q2 2020 Q1 2020 Q4 2020 Q3 2019
EPS Estimate -0.25 -0.07 -0.06 -0.06
EPS Actual -0.33 -0.38 -0.03 -0.04
Revenue Estimate 346.17 M 388.27 M 524.68 M 473.21 M
Revenue Actual 306.17 M 280.26 M 527.09 M 484.71 M

Stock Performance

Over the last 52-week period, shares are down 63.52%. Given that these returns are generally negative, long-term shareholders won't be happy going into this earnings release.

Do not be surprised to see the stock move on comments made during its conference call. Chico's FAS is scheduled to hold the call at 08:00:00 ET and can be accessed here.


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Posted-In: Earnings