Bebe Stores Second Quarter Earnings Sneak Peek

Bebe stores, inc. (NASDAQ:BEBE)¬†will unveil its latest earnings tomorrow, Thursday, January 31, 2013. 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 a loss of one cent per share, up from net income of 8 cents in the year-earlier 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 also has dropped from one cent during the last month. Analysts are projecting net loss of 5 cents per share versus profit of 14 cents last year.

Past Earnings Performance: Last quarter, the company met expectations by reporting a loss of 3 cents per share last quarter. In the previous fourth quarter of the last fiscal year, the company beat estimates by one cent.

Start 2013 better than ever by saving time and making money with your Limited Time Offer for our highly-acclaimed Stock Picker Newsletter. Click here for our fresh Feature Stock Pick now!

A Look Back: In the first quarter, the company swung to a loss of $2.6 million (3 cents a share) from a profit of $2.4 million (3 cents) a year earlier, meeting analyst expectations. Revenue fell 7.3% to $117.1 million from $126.3 million.

Here’s how Bebe Stores traded following its last earnings report 3 months ago and leading up to its upcoming earnings report this week:


Wall St. Revenue Expectations: Analysts predict a decline of 13% in revenue from the year-earlier quarter to $132.2 million.

Stock Price Performance: Between November 27, 2012 and January 25, 2013, the stock price had risen 29 cents (7.6%), from $3.80 to $4.09. The stock price saw one of its best stretches over the last year between January 14, 2013 and January 22, 2013, when shares rose for six straight days, increasing 7.2% (+27 cents) over that span. It saw one of its worst periods between September 21, 2012 and October 8, 2012 when shares fell for 12 straight days, dropping 17.7% (-92 cents) over that span.

Key Stats:

On the top line, the company is hoping to use this earnings announcement to snap a string of two-straight quarters of revenue declines. Revenue fell 0.6% in the fourth quarter of the last fiscal year and dropped again in the first quarter.

Analyst Ratings: There are mostly holds on the stock among the limited number of analysts surveyed with two hold ratings.

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.

Stocks with improving earnings metrics are worthy of your extra attention. In fact, “E = Earnings Are Increasing Quarter-Over-Quarter” is a core component of our CHEAT SHEET investing framework for this very reason. Don’t waste another minute — click here and get our CHEAT SHEET stock picks now.

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