Bebe Stores Fourth Quarter Earnings Sneak Peek

Bebe stores, inc. (NASDAQ:BEBE) will unveil its latest earnings on Thursday, August 23, 2012. Bebe Stores designs, develops, and produces a distinctive line of contemporary women’s apparel and accessories.

bebe stores, inc. Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average estimate of analysts is for profit of 3 cents per share, a decline of 50% from the company’s actual earnings in the year-ago quarter. During the past three months, the average estimate has moved down from 4 cents. Between one and three months ago, the average estimate moved down. It has been unchanged at 3 cents during the last month. For the year, analysts are projecting net income of 14 cents per share, a rise of more than twofold from last year.

Past Earnings Performance: The company missed estimates last quarter after beating forecasts in the prior two. In the third quarter, the company reported 0 cents per share versus a mean estimate of profit of one cent per share. In the second quarter, the company beat estimates by one cent.

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A Look Back: In the third quarter, the company’s loss narrowed to a loss of $214,000 (0 cents a share) from a loss of $2.6 million (3 cents) a year earlier, but missed analyst expectations. Revenue rose 10.5% to $121 million from $109.5 million.

Stock Price Performance: Between June 21, 2012 and August 17, 2012, the stock price had risen 80 cents (14.6%), from $5.47 to $6.27. The stock price saw one of its best stretches over the last year between September 8, 2011 and September 16, 2011, when shares rose for seven straight days, increasing 13.4% (+89 cents) over that span. It saw one of its worst periods between July 18, 2012 and July 25, 2012 when shares fell for six straight days, dropping 4.5% (-27 cents) over that span.

Wall St. Revenue Expectations: Analysts are projecting a decline of 3% in revenue from the year-earlier quarter to $128.4 million.

Key Stats:

On the top line, the company is looking to build on four-straight revenue increases heading into this earnings announcement. Revenue rose 3.8% in the fourth quarter of the last fiscal year, 7.1% in the first quarter and 11.6% in the second quarter before increasing again in the third quarter.

Analyst Ratings: With three analysts rating the stock a buy, none rating it a sell and one rating the stock a hold, there are indications of a bullish stance by analysts.

Balance Sheet Analysis: The company’s current ratio of assets to liabilities came in at 5.29 last quarter. Having a ratio above 2:1 is usually considered a good indicator of a company’s liquidity and ability to meet creditor demands.

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(Company fundamentals by Xignite Financials. Earnings estimates provided by Zacks)

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