PetMed Express Inc. Third Quarter Earnings Sneak Peek

PetMed Express, Inc. (NASDAQ:PETS) will unveil its latest earnings on Monday, January 23, 2012. PetMed Express is a nationwide pet pharmacy. The company markets prescription and non-prescription pet medications and other health products for dogs, cats, and horses direct to the consumer.

PetMed Express, Inc. Earnings Preview Cheat Sheet.

Wall St. Earnings Expectations: The average estimate of analysts is for profit of 16 cents per share, a decline of 20% from the company’s actual earnings for the same quarter a year ago. During the past three months, the average estimate has moved up from 15 cents. Between one and three months ago, the average estimate moved up. It has been unchanged at 16 cents during the last month. For the year, analysts are projecting net income of 75 cents per share, a decline of 18.5% from last year.

Past Earnings Performance: The company beat estimates last quarter after falling short in the prior two. In the second quarter, the company reported profit of 19 cents per share versus a mean estimate of net income of 14 cents per share. In the first quarter, the company missed estimates by 2 cents.

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Wall St. Revenue Expectations: On average, analysts predict $44.8 million in revenue this quarter, a decline of 0.8% from the year ago quarter. Analysts are forecasting total revenue of $226.2 million for the year, a decline of 2.4% from last year’s revenue of $231.6 million.

Analyst Ratings: Analysts are bearish on PetMed Express as three analysts rate it as a sell, one rates it as a buy and two rate it as a hold.

A Look Back: In the second quarter, profit fell 21% to $3.9 million (19 cents a share) from $5 million (22 cents a share) the year earlier, but exceeded analyst expectations. Revenue fell 4.9% to $58.2 million from $61.2 million.

Key Stats:

While the company has been profitable for the last eight quarters, income has fallen year over year by an average of 26.2% over the past four quarters. The quarter hit the hardest was the first quarter, that saw a 33.1% drop.

Revenue has fallen in the past two quarters. In the first quarter, the figure fell 1.1%.

Competitors to Watch: Rite Aid Corporation (NYSE:RAD), Walgreen Company (NYSE:WAG),, inc. (NASDAQ:DSCM), China Nepstar Chain Drugstore Ltd. (NYSE:NPD), Graymark Healthcare Inc (NASDAQ:GRMH), CVS Caremark Corporation (NYSE:CVS), PetSmart, Inc (NASDAQ:PETM), Wal-Mart (NYSE:WMT) and Target (NYSE:TGT).

Stock Price Performance: During October 19, 2011 to January 17, 2012, the stock price had risen $1.81 (19.8%) from $9.15 to $10.96. The stock price saw one of its best stretches over the last year between July 18, 2011 and July 25, 2011 when shares rose for six-straight days, rising 5% (+52 cents) over that span. It saw one of its worst periods between November 15, 2011 and November 25, 2011 when shares fell for eight-straight days, falling 7.5% (-73 cents) over that span.

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

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