PetSmart, Inc. Second Quarter Earnings Sneak Peek

PetSmart, Inc. (NASDAQ:PETM) will unveil its latest earnings on Wednesday, August 17, 2011. PetSmart, Inc. (PetSmart) is a specialty provider of products, services and solutions for the lifetime needs of pets. The Company offers a line of products for all the life stages of pets, and offers various pet services.

PetSmart, Inc. Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average estimate of analysts is for profit of 50 cents per share, a rise of 22% 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 49 cents. Between one and three months ago, the average estimate moved up, but it has been unchanged at 50 cents during the last month. For the year, analysts are projecting net income of $2.43 per share, a rise of 20.9% from last year.

Past Earnings Performance: The company is looking to top estimates for the third straight quarter. Last quarter, it reported profit of 61 cents per share against a mean estimate of net income of 55 cents, and the quarter before, the company exceeded forecasts by 3 cents with profit of 77 cents versus a mean estimate of net income of 74 cents.

Investing Insights: Steve Jobs Prepares to Deliver a New Catalyst for Apple’s Stock.

Wall St. Revenue Expectations: On average, analysts predict $1.48 billion in revenue this quarter, a rise of 6.5% from the year ago quarter. Analysts are forecasting total revenue of $6.06 billion for the year, a rise of 6.5% from last year’s revenue of $5.69 billion.

Analyst Ratings: Analysts are bullish on this stock with 10 analysts rating it as a buy, none rating it as a sell and nine rating it as a hold. Over the past 90 days, the average rating for the stock has moved up from hold to moderate buy.

Key Stats:

The company has now seen net income rise in three straight quarters. In the first quarter, net income rose 27.5% while it rose 20.3% in the fourth quarter of the last fiscal year and 19.8% in the third quarter of the last fiscal year.

Revenue has risen the past four quarters. Revenue increased 6.8% to $1.49 billion in first quarter. The figure rose 8.1% in the fourth quarter of the last fiscal year from the year earlier, climbed 7.2% in the third quarter of the last fiscal year from the year-ago quarter and 6.2% in the second quarter of the last fiscal year.

Competitors to Watch: PetMed Express (NASDAQ:PETS), Rite Aid (NYSE:RAD), Walgreen (NYSE:WAG), CVS (NYSE:CVS), Target (NYSE:TGT), Wal-Mart (NYSE:WMT), Ulta Salon, Cosmetics & Fragrance, Inc. (NASDAQ:ULTA).

Stock Price Performance: During August 8, 2011 to August 12, 2011, the stock price had risen $3.87 (10.2%) from $37.98 to $41.85. The stock price saw one of its best stretches over the last year between November 1, 2010 and November 11, 2010 when shares rose for nine-straight days, rising 5.3% (+$1.94) over that span. It saw one of its worst periods between October 11, 2010 and October 19, 2010 when shares fell for seven-straight days, falling 1.9% (-69 cents) over that span. Shares are up $2.39 (+6.1%) year to date.

(Source: Xignite Financials)

Investing Insights: Steve Jobs Prepares to Deliver a New Catalyst for Apple’s Stock.