Columbia Sportswear Company COLM gears up to unveil its fourth-quarter 2024 earnings on Feb. 4, after market close. The Zacks Consensus Estimate for fourth-quarter revenues is pegged at $1.08 billion, which indicates a 1.8% increase from the year-ago period.

In the past 30 days, the Zacks Consensus Estimate for earnings has remained unchanged at $1.86 per share, which is in-line with the reported figure in the same quarter last year. COLM delivered a trailing four-quarter earnings surprise of 36.5%, on average.

Find the latest EPS estimates and surprises on Zacks Earnings Calendar.

Columbia Sportswear Company Price, Consensus and EPS Surprise

Columbia Sportswear Company price-consensus-eps-surprise-chart | Columbia Sportswear Company Quote

Factors Likely to Influence COLM’s Q4 Earnings Results

Columbia Sportswear’s focus on attracting younger, more active consumers is expected to have driven growth in the quarter. Through its ACCELERATE growth strategy, the company has been prioritizing innovation and product differentiation to appeal to this key demographic. New products like Omni-Heat Arctic, coupled with high-profile collaborations and a revamped digital marketing approach, are expected to have enhanced consumer engagement during the key holiday shopping period. 

COLM’s performance in international markets like China and Europe has been strong, with the brand continuing to focus on localized offerings and expanding its direct-to-consumer channels. As the outdoor category thrives in these regions, Columbia Sportswear is poised to capture further market share. We foresee sales from the international segment to increase 12.7% in the fourth quarter.

The company’s refined e-commerce and retail strategies are likely to have played a pivotal role in driving sales in the holiday season. With improvements to the online shopping experience and in-store presentations, Columbia has been enhancing consumer engagement across its sales channels. These efforts are likely to have supported both in-store and online sales, helping to drive growth during the busy fourth quarter.

While the aforementioned factors have raised optimism, challenges such as intense competition, a highly promotional environment and potential SG&A expense deleverage remain concerns. Our model indicates SG&A expenses, as a percentage of sales to increase 140 bps to 39.6% in the fourth quarter.

What the Zacks Model Predicts for COLM

Our proven model does not conclusively predict an earnings beat for Columbia Sportswear this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. However, that is not the case here.

Columbia Sportswear has a Zacks Rank #2 and an Earnings ESP of 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Stocks With the Favorable Combination

Here are some companies worth considering, as our model shows that these have the right combination of elements to beat on earnings this reporting cycle.

lululemon athletica inc. LULU has an Earnings ESP of +0.25% and a Zacks Rank of 2 at present. You can see the complete list of today’s Zacks #1 Rank stocks here. 

The company is expected to register top and bottom-line increases when it reports fourth-quarter fiscal 2024 numbers. The Zacks Consensus Estimate for LULU’s quarterly earnings has risen 1 cent in the past seven days to $5.83 per share, which indicates an increase of 10.2% from the prior-year quarter. The consensus mark for lululemon athletica’s quarterly revenues is pegged at $3.57 billion, which indicates an increase of 11.5% from the year-ago quarter. LULU delivered a trailing four-quarter earnings surprise of 6.7%, on average.

Savers Value Village, Inc. SVV currently has an Earnings ESP of +2.85% and a Zacks Rank #2. The company is likely to register an increase in the top line when it reports fourth-quarter 2024 numbers. The consensus mark for revenues is pegged at $402 million, which implies growth of 5% from the year-ago quarter.

The Zacks Consensus Estimate for Savers Value Village’s quarterly earnings has risen 1 cent in the past 30 days to 12 cents per share, which indicates a decrease of 20% from the prior-year quarter. 

Revolve Group, Inc. RVLV currently has an Earnings ESP of +4.65% and a Zacks Rank #3. The company is expected to register top and bottom-line increases when it reports fourth-quarter 2024 numbers. The Zacks Consensus Estimate for RVLV’s quarterly revenues is pegged at $281.7 million, which indicates growth of 9.3% from the prior-year quarter’s reported figure. 

The consensus mark for Revolve Group’s quarterly earnings has increased in the past 30 days to 9 cents per share. The estimate indicates an increase of 80% from the year-ago quarter. RVLV delivered an earnings surprise of 94.8% in the trailing four quarters, on average.

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