Conn’s (CONN, $24.63) beats earnings, but misses revenue estimates
Conn’s outpaced earnings estimates for its fiscal fourth quarter. The home goods retailer's revenue, however, failed to match up to expectations.
The company’s SEC filing revealed that it raked in quarterly adjusted earnings of 96 cents a share, which surpassed analysts’ estimates of 76 cents. But revenue of $433 million fell short of analysts' expectations of $438 million.
For its fiscal first quarter 2020, the company predicts that its same-store sales would decline in the range of -1% and -5%. It expects its retail gross margin to range between 39.5% and 40.0% of total net retail sales for the quarter.
CONN's Indicator enters downward trend
The Aroon Indicator for CONN entered a downward trend on June 08, 2023. Tickeron's A.I.dvisor identified a pattern where the AroonDown red line was above 70 while the AroonUp green line was below 30 for three straight days. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options. A.I.dvisor looked at 258 similar instances where the Aroon Indicator formed such a pattern. In of the 258 cases the stock moved lower. This puts the odds of a downward move at .
Technical Analysis (Indicators)
Bearish Trend Analysis
The Stochastic Oscillator demonstrated that the ticker has stayed in the overbought zone for 3 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
CONN moved below its 50-day moving average on June 08, 2023 date and that indicates a change from an upward trend to a downward trend.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where CONN declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
CONN broke above its upper Bollinger Band on June 07, 2023. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
Bullish Trend Analysis
The RSI Indicator points to a transition from a downward trend to an upward trend -- in cases where CONN's RSI Oscillator exited the oversold zone, of 37 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
The Momentum Indicator moved above the 0 level on June 06, 2023. You may want to consider a long position or call options on CONN as a result. In of 84 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
Following a +1 3-day Advance, the price is estimated to grow further. Considering data from situations where CONN advanced for three days, in of 274 cases, the price rose further within the following month. The odds of a continued upward trend are .
Fundamental Analysis (Ratings)
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating fairly steady price growth. CONN’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is fair valued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is fair valued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (0.254) is normal, around the industry mean (13.763). P/E Ratio (7.519) is within average values for comparable stocks, (25.211). Projected Growth (PEG Ratio) (0.211) is also within normal values, averaging (2.521). CONN has a moderately low Dividend Yield (0.000) as compared to the industry average of (0.037). P/S Ratio (0.092) is also within normal values, averaging (69.877).
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating weak sales and an unprofitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating that the returns do not compensate for the risks. CONN’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 76, placing this stock worse than average.
Notable companies
Industry description
Market Cap
High and low price notable news
Volume
Fundamental Analysis Ratings
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
General Information
a company which offers durable consumer goods and services through retail stores and website
Industry SpecialtyStores
CONN and
Correlation & Price change
A.I.dvisor indicates that over the last year, CONN has been loosely correlated with BBY. These tickers have moved in lockstep 61% of the time. This A.I.-generated data suggests there is some statistical probability that if CONN jumps, then BBY could also see price increases.
| Ticker / NAME | Correlation To CONN | 1D Price Change % | ||
|---|---|---|---|---|
| CONN | 100% | -8.54% | ||
| BBY - CONN | 61% Loosely correlated | -0.40% | ||
| RH - CONN | 58% Loosely correlated | -1.04% | ||
| WSM - CONN | 57% Loosely correlated | -2.62% | ||
| HZO - CONN | 55% Loosely correlated | -1.68% | ||
| HVT - CONN | 54% Loosely correlated | -2.39% | ||
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