Auto services provider Monro (NASDAQ:MNRO) will be reporting results tomorrow before market open. Here’s what to expect.
Monro met analysts’ revenue expectations last quarter, reporting revenues of $301.4 million, down 6.4% year on year. It was a softer quarter for the company, with a significant miss of analysts’ EBITDA and gross margin estimates.
Is Monro a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Monro’s revenue to decline 1.8% year on year to $311.9 million, improving from the 5.2% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.30 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Monro has missed Wall Street’s revenue estimates six times over the last two years.
Looking at Monro’s peers in the automotive and marine retail segment, some have already reported their Q4 results, giving us a hint as to what we can expect. CarMax delivered year-on-year revenue growth of 1.2%, beating analysts’ expectations by 2.9%, and MarineMax reported a revenue decline of 11.2%, falling short of estimates by 3.5%. CarMax traded up 3.6% following the results while MarineMax was also up 10%.
Read our full analysis of CarMax’s results here and MarineMax’s results here.
There has been positive sentiment among investors in the automotive and marine retail segment, with share prices up 2.6% on average over the last month. Monro is down 10.3% during the same time and is heading into earnings with an average analyst price target of $28.75 (compared to the current share price of $21.93).
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