Stock Story -
Bedding manufacturer Tempur Sealy (NYSE:TPX) will be announcing earnings results tomorrow before the bell. Here's what to look for.
Tempur Sealy missed analysts' revenue expectations by 1.3% last quarter, reporting revenues of $1.19 billion, down 1.5% year on year. It was a mixed quarter for the company, with a narrow beat of analysts' earnings estimates but a miss of analysts' Direct revenue estimates.
Is Tempur Sealy a buy or sell going into earnings? Find out by reading the original article on StockStory, it's free.
This quarter, analysts are expecting Tempur Sealy's revenue to be flat year on year at $1.28 billion, slowing from the 4.8% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.64 per share.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings.
Looking at Tempur Sealy's peers in the consumer discretionary segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Mohawk Industries (NYSE:MHK)'s revenues decreased 5.1% year on year, missing analysts' expectations by 1.2%, and Leggett & Platt reported a revenue decline of 7.6%, in line with consensus estimates. Mohawk Industries traded up 19.3% following the results while Leggett & Platt was also up 1%.
Read the full analysis of Mohawk Industries's and Leggett & Platt's results on StockStory.
There has been positive sentiment among investors in the consumer discretionary segment, with share prices up 3.3% on average over the last month. Tempur Sealy is up 3.3% during the same time and is heading into earnings with an average analyst price target of $61.3 (compared to the current share price of $49.01).
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