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What To Expect From Dick's’s (DKS) Q4 Earnings

StockStory - Wed Mar 13, 2:01AM CDT

DKS Cover Image

Sporting goods retailer Dick’s Sporting Goods (NYSE:DKS) will be reporting results tomorrow before the bell. Here's what to expect.

Last quarter Dick's reported revenues of $3.04 billion, up 2.8% year on year, beating analyst revenue expectations by 3.3%. It was a very strong quarter for the company, with an impressive beat of analysts' revenue estimates and optimistic earnings guidance for the full year.

Is Dick's buy or sell heading into the earnings? Read our full analysis here, it's free.

This quarter analysts are expecting Dick's's revenue to grow 5.4% year on year to $3.79 billion, slowing down from the 7.3% year-over-year increase in revenue the company had recorded in the same quarter last year. Adjusted earnings are expected to come in at $3.36 per share.

Dick's Total Revenue

The analysts covering the company have been growing increasingly bullish about the business heading into the earnings, with revenue estimates seeing six upwards revisions over the last thirty days. The company only missed Wall St's revenue estimates once over the last two years, and has on average exceeded top line expectations by 2.9%.

Looking at Dick's's peers in the apparel and footwear retail segment, some of them have already reported Q4 earnings results, giving us a hint of what we can expect. Foot Locker delivered top-line growth of 2% year on year, beating analyst estimates by 4.6% and Abercrombie and Fitch reported revenues up 21.1% year on year, exceeding estimates by 1.5%. Foot Locker traded down 18.7% on the results, and Abercrombie and Fitch was flat on the results.

Read our full analysis of Foot Locker's results here and Abercrombie and Fitch's results here.

There has been positive sentiment among investors in the apparel and footwear retail segment, with the stocks up on average 5.3% over the last month. Dick's is up 10.4% during the same time, and is heading into the earnings with analyst price target of $168.7, compared to share price of $182.7.

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