Supervalu Earnings: Here’s Why Investors are Buying Shares

SUPERVALU Inc. (NYSE:SVU) generated a quarterly profit and missed Wall Street’s expectations, BUT beat the revenue estimate. The revenue beat is a positive sign to shareholders who believe in the turnaround play. Shares are up 14.47%.

Earnings season is back and more important than ever. Get our newest CHEAT SHEET stock picks now.

SUPERVALU Inc. Earnings Cheat Sheet

Results: Net income increased to $16 million (3 cents per diluted share) in the quarter versus a net loss of $750 million in the year-earlier quarter.

Revenue: Decreased 5.13% to $7.9 billion from the year-earlier quarter.

Actual vs. Wall St. Expectations: SUPERVALU Inc. reported adjusted net income of 3 cents per share. By that measure, the company missed the mean analyst estimate of $0.05. It beat the average revenue estimate of $7.89 billion.

Save time and make money with our LOWEST ADVERTISED PRICE EVER to help you achieve your financial goals in 2013. This is a LIMITED TIME OFFER, so get your Stock Picker Newsletter now!

Key Stats:

Revenue decreased 1.73% from $8.04 billion in the previous quarter. Net income increased to $16 million in the quarter versus a net loss of $111 million in the previous quarter.

Looking Forward: Analysts have a more negative outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has fallen from a profit of $0.24 to a profit $0.2. For the current year, the average estimate has moved down from a profit of $0.69 to a profit of $0.49 over the last ninety days.

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 provided by Xignite Financials.)

Don’t Miss These Additional Hot Stories:

Can Google Beat the Bears and Outperform in 2013?

Cheat Sheet: Gundlach’s Year of the Snake 2013 Outlook

Is Alcoa’s Stock a Buy Now?