As the craze of earnings season draws to a close, here's a look back at some of the most exciting (and some less so) results from Q1. Today, we are looking at specialized consumer services stocks, starting with Frontdoor (NASDAQ:FTDR).
Some consumer discretionary companies don’t fall neatly into a category because their products or services are unique. Although their offerings may be niche, these companies have often found more efficient or technology-enabled ways of doing or selling something that has existed for a while. Technology can be a double-edged sword, though, as it may lower the barriers to entry for new competitors and allow them to do serve customers better.
The 11 specialized consumer services stocks we track reported a slower Q1; on average, revenues beat analyst consensus estimates by 0.6%. while next quarter's revenue guidance was in line with consensus. Inflation progressed towards the Fed's 2% goal at the end of 2023, leading to strong stock market performance. The start of 2024 has been a bumpier ride, as the market switches between optimism and pessimism around rate cuts due to mixed inflation data, and while some of the specialized consumer services stocks have fared somewhat better than others, they collectively declined, with share prices falling 3.3% on average since the previous earnings results.
Best Q1: Frontdoor (NASDAQ:FTDR) Established in 2018 as a spin-off from ServiceMaster Global Holdings, Frontdoor (NASDAQ:FTDR) is a provider of home warranty and service plans.
Frontdoor reported revenues of $378 million, up 3% year on year, in line with analysts' expectations. It was a solid quarter for the company, with an impressive beat of analysts' earnings estimates.
“Frontdoor continues to operate extremely well and is off to a strong start in 2024," said Chairman and Chief Executive Officer Bill Cobb.
Frontdoor delivered the weakest full-year guidance update of the whole group. The stock is up 10.9% since the results and currently trades at $34.12.
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Service International (NYSE:SCI) Founded in 1962, Service International (NYSE: SCI) is a leading provider of death care products and services in North America.
Service International reported revenues of $1.05 billion, up 1.6% year on year, outperforming analysts' expectations by 2.7%. It was a good quarter for the company, with a decent beat of analysts' earnings estimates.
The stock is down 0.9% since the results and currently trades at $70.77.
Weakest Q1: 1-800-FLOWERS (NASDAQ:FLWS) Founded in 1976, 1-800-FLOWERS (NASDAQ:FLWS) is an online retailer of flowers, gifts, and gourmet foods, serving customers globally.
1-800-FLOWERS reported revenues of $379.4 million, down 9.1% year on year, falling short of analysts' expectations by 1.2%. It was a weak quarter for the company, with a miss of analysts' earnings estimates.
The stock is up 5.6% since the results and currently trades at $9.55.
Pool (NASDAQ:POOL) Founded in 1993 and headquartered in Louisiana, Pool (NASDAQ:POOL) is one of the largest wholesale distributors of swimming pool supplies, equipment, and related leisure products.
Pool reported revenues of $1.12 billion, down 7.1% year on year, falling short of analysts' expectations by 0.8%. It was a decent quarter for the company, with strong earnings guidance for the full years.
The stock is down 20.1% since the results and currently trades at $301.
Carriage Services (NYSE:CSV) Established in 1991, Carriage Services (NYSE:CSV) is a provider of funeral and cemetery services in the United States.
Carriage Services reported revenues of $103.5 million, up 8.4% year on year, surpassing analysts' expectations by 4.8%. It was a weaker quarter for the company, with a miss of analysts' earnings estimates.
Carriage Services scored the biggest analyst estimates beat among its peers. The stock is up 6% since the results and currently trades at $27.39.
This content was originally published on Stock Story
