National Vision Holdings, Inc. (NasdaqGS:EYE) is scheduled to report Q3 earnings results before markets open for trading on November 5, 2020.
The company is expected to report earnings of $0.26/share on revenue of $479.7 million. The consensus earnings per share (EPS) of $0.26/share is based on a poll of 12 analysts and represents a growth in eps of 42.5% over the same quarter last year, when the company reported earnings of $0.18/share.
The revenue forecast of $479.7 million based on a poll of 10 analysts implies a year-over-year (YoY) growth in revenue of 11.1%. Last year the company reported $431.9 million in revenue for the quarter.
|Metric||Expected||Prior Year||YoY Change|
Earnings Call Trends
Historically, management has exceeded analyst expectations 5 out of the last 8 tracked quarters, missed 2 quarters, and met expectations 1 quarter.
What are your expectations from National Vision Holdings, Inc. for earnings this quarter? Let us know in the comments!
In the following table, we summarize the company’s stock price movements after earnings releases. The “Price Day Prior” column shows the closing stock price on the day before the earnings report, and the “Price Next Day” column shows the stock price at the end of the trading day after the earnings report. After the last earnings report for the period ending June 27, 2020, the stock price reacted by falling −1.8%.
|Report Date||Price Day Prior||Price Next Day||Change %||Result|
|August 6, 2020||$33.92||$33.30||−1.8%||Decline|
|May 7, 2020||$24||$26.41||10.0%||Increase|
|February 26, 2020||$33.83||$35.18||4.0%||Increase|
|November 7, 2019||$24.83||$27.75||11.8%||Increase|
The other question to consider is one of earnings manipulation. There is a lot of pressure on management each quarter to deliver on earnings expectations. The Beneish M-Score is a statistical model that provides some insight into whether the company might be manipulating earnings. With a Beneish M-Score of −3.02, the model suggests that the company is not likely to be an earnings manipulator. A value of −3.02 implies a 0.1% chance of earnings manipulation.
Fundamentals And Technical Analysis
National Vision Holdings, Inc. is currently trading at $41.75/share, down −1.0% for the day. The company is trading at approximately 97.0% of its 52-week high of $43.50/share. The company’s stock price is up 25.4% since the last earnings report and down 0.0% over the previous week. The company’s 14 Day Relative Price Index (RSI) of 60.63 suggests the company is trading in technically neutral territory. The RSI is considered overbought when above 70 and oversold when below 30.
The current share price implies a price-to-earnings (P/E) multiple of −116.39 and a forward P/E multiple of 161.77.
National Vision Holdings, Inc.’s current share price also implies a price-to-book (P/B) multiple of 4.11. The following table summarizes some other key fundamental ratios:
|Last Reported Fiscal Period Key||FY2020.Q2|
|Period End Date||June 27, 2020|
|Stock Price (Current)||$41.75|
|P/E Ratio (Fwd)||161.8x|
|Total Debt / Total Capital||23.6%|
|Levered Free Cash Flow||$42.204 million|
|EV / EBITDA||36.3x|
National Vision Holdings, Inc. is a mid-cap stock with a market capitalization of $3.391 billion and a total enterprise value of $4.185 billion. The company operates in the Consumer Discretionary sector and the Specialty Retail industry.
National Vision Holdings, Inc., through its subsidiaries, operates as an optical retailer primarily in the United States. The company operates in two segments, Owned & Host and Legacy. It offers eyeglasses and contact lenses, and optical accessory products; provides eye exams through its America’s Best, Eyeglass World, Vista Optical, Fred Meyer, and Vista Optical military, as well as Vision Center branded stores; and offers health maintenance organization, vision care benefit plan, and optometric services. As of December 28, 2019, the company operated through 1,151 retail stores in the United States and its territories, as well as various e-commerce Websites. National Vision Holdings, Inc. was founded in 1990 and is headquartered in Duluth, Georgia.