Manufacturing company Leggett & Platt (NYSE:LEG) will be reporting earnings tomorrow after market hours. Here’s what to expect.
Leggett & Platt met analysts’ revenue expectations last quarter, reporting revenues of $1.10 billion, down 6.3% year on year. It was a slower quarter for the company, with EPS guidance for next quarter missing analysts’ expectations.
Is Leggett & Platt a buy or sell going into earnings? Read our full analysis here, it’s free .
This quarter, analysts are expecting Leggett & Platt’s revenue to decline 7.8% year on year to $1.03 billion, a further deceleration from the 6.7% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.20 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Leggett & Platt has missed Wall Street’s revenue estimates six times over the last two years.
Looking at Leggett & Platt’s peers in the consumer discretionary segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Mohawk Industries posted flat year-on-year revenue, beating analysts’ expectations by 4.1%, and VF Corp reported revenues up 1.9%, topping estimates by 1.2%. Mohawk Industries traded down 1.4% following the results while VF Corp was up 1.4%.
Read our full analysis of Mohawk Industries’s results here and VF Corp’s results here .
There has been positive sentiment among investors in the consumer discretionary segment, with share prices up 2.7% on average over the last month. Leggett & Platt is down 2.7% during the same time and is heading into earnings with an average analyst price target of $12 (compared to the current share price of $9.85).
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