The three major U.S. equity indexes closed higher Friday. The Nasdaq jumped 3.3%, the S&P 500 rose 2.5% and the Dow Jones industrials were up 1.8%. Friday’s report on personal consumption bolstered hope that U.S. inflation may have reached its peak. Tech and consumer cyclical stocks both added 3.4% to lead all 11 sectors. This week’s big economic report comes Friday, when the report on May payrolls is released. Economists currently expect the economy to have added about 325,000 in the month, down from 428,000 in April.<\/p>\n
Before markets opened Tuesday morning, KE Holdings beat top-line and bottom-line estimates but issued downside guidance for the current quarter. An announced $1 billion share buyback program, still to be approved by shareholders, carried the day. The stock traded up 7% in Tuesday’s premarket session.<\/p>\n
After markets close Tuesday afternoon, ChargePoint, HP, Nordic American Tankers and Salesforce will be reporting quarterly results. Tech companies Hewlett Packard Enterprise, Pure Storage and UiPath take their turns in the earnings spotlight on Wednesday.<\/p>\n
Here are two specialty retailers on deck to report quarterly results after markets close Wednesday.<\/p>\n
Chewy Inc. (NYSE: CHWY) is a pure-play e-commerce provider of pet supplies and a subsidiary of privately held PetSmart. Over the past 12 months, the stock has dropped by more than 63%. Since posting a 52-week high in mid-August, the stock is down nearly 72%.<\/p>\n
Chewy’s failure to post a profit in seven of the past nine quarters and a consensus outlook for eight more quarters of losses are not what investors want to hear about right now. Add to that what can only be called modest sales growth, and it is not difficult to see why investors have been bailing out.<\/p>\n
Analysts remain slightly bullish on the stock. Of 23 brokerages covering the company, 10 have a Hold while 13\u00a0 have a Buy or Strong Buy ratings. At a recent share price of around $27.10, the upside potential to a median price target of $55.00 is 103%. At the high price target of $108.00, the upside potential is nearly 300%. Some rethinking may be in order.<\/p>\n
\t\t\t<\/p>\n \t\t\t\tALSO READ: 7 Highest-Yielding Goldman Sachs Conviction List Stocks Can Thrive in a Recession \nRevenue in the first quarter of fiscal 2023 is forecast to come in at $2.41 billion, which would be up about 1.0% sequentially and 12.6% higher year over year. Analysts are expecting an adjusted loss per share of $0.13, compared to the prior quarter’s loss of $0.15 per share and the year-ago loss of $0.09 per share. For the full fiscal year, analysts forecast a per-share loss of $0.45, compared to last year’s loss per share of $0.17, on sales of $10.28 billion, up 15.6%.<\/p>\n Sponsored: Find a Qualified Financial Advisor:<\/b><\/p>\n Finding a qualified financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with up to 3 fiduciary financial advisors in your area in 5 minutes. Each advisor has been vetted by SmartAsset and is held to a fiduciary standard to act in your best interests. If you’re ready to be matched with local advisors that can help you achieve your financial goals, get started now.<\/p>\n
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