Vista Outdoor Inc. VSTO is gearing up to announce its third-quarter fiscal 2024 results on Jan 31. Notably, in the previous quarter, the company shocked investors with a negative earnings report, missing the mark by 3%.
Estimates on the Radar
The estimated earnings per share for the third fiscal quarter are forecasted at 84 cents, marking a substantial drop of 35.4% compared to the $1.30 reported in the same quarter of the previous year.
The consensus estimate for revenues is set at $687.9 million, depicting a decline of 8.8% from the previous year’s figure.
Factors at Play
The upcoming quarterly performance of Vista Outdoor is expected to have suffered from decreased shipments across various categories within the Sporting Products segment. Reduced volume can be ascribed to the cautious behavior of channel partners in procurement, stemming from concerns over inventory levels and immediate consumer pressures in Outdoor Products businesses. Moreover, elevated costs are likely to have impinged on the company’s bottom line.
The consensus estimate for total Outdoor Products and Sporting Products revenues stands at $325 million and $369 million, reflecting a fall of 7.9% and 8.2%, respectively, from the year-ago quarter.
Forecast for Vista Outdoor Inc.
Our tried-and-tested model does not definitively predict that Vista Outdoor will beat earnings this time. The combined impact of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy), or 3 (Hold) heightens the likelihood of an earnings beat.
Earnings ESP: Vista Outdoor has a 0.00% Earnings ESP. Gain insight into the most promising stocks to trade before their reports through our Earnings ESP Filter.
Zacks Rank: Vista Outdoor holds a Zacks Rank #3. View the full roster of Zacks #1 Rank stocks here.
Stocks Likely to Outclass Earnings Estimates
Considering our model’s outlook, here are some stocks that could be worth considering, as the model indicates that they have the right mix of attributes to exceed earnings expectations.
MGM Resorts International MGM holds an Earnings ESP of +14.99% and a Zacks Rank #3.
MGM Resorts’ stock has surged by 9.5% over the past year. The company has exceeded earnings estimates in each of the last four quarters, with an average surprise of 292.7%.
Boyd Gaming Corporation BYD has an Earnings ESP of +1.10% and a Zacks Rank #3.
Boyd Gaming’s shares have appreciated by 6.8% over the past year. The company has outperformed earnings estimates in three of the last four quarters, with an average surprise of 6.9%.
Hasbro, Inc. HAS boasts an Earnings ESP of +5.05% and a Zacks Rank #3.
Hasbro’s stock has witnessed a decline of 13.5% in the past three months. The company has surpassed earnings estimates in two of the last four quarters, but missed twice, with an average negative surprise of 22.4%.
Keep abreast of upcoming earnings releases with the Zacks Earnings Calendar.
5 Stocks Set to Double
Each was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2023. Previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%.
Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.
Today, See These 5 Potential Home Runs >>
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