SNBR Stock Recent News
SNBR LATEST HEADLINES
Shares of Sleep Number Corp. SNBR jumped more than 20% in the extended session Thursday after the specialty retailer missed expectations for its quarterly sales and dialed down guidance for the year. Sleep Number said it earned $754 million, or 3 cents a share, in the quarter, compared with $35 million, $1.54 a share, in the year-ago quarter.
Stocks generally display positive momentum after a positive earnings report, which is the reason for selecting these three.
Wedbush analysts expect better sales and margins than the consensus estimate is calling for next quarter. Sleep Number is seeing margins rise from price increases and improving supply trends.
Sleep Number shares have gone from the high teens to nearly $40 since the end of May. An analyst boosted his price target this week, but it was just a $6 increase for a Wall Street firm that has a neutral rating on the stock.
Sleep Number Corporation demonstrated resilience amidst economic challenges, expanding its gross margin significantly in 2023, but faces potential overvaluation due to declining operating earnings growth rate and high P/E ratio. Despite uncertainties, the company's innovation-driven approach and strategic product launches present potential opportunities for growth, I recommend a cautious "hold" for the company's stock. The company's declining Operating Earnings Growth Rate and elevated P/E ratio suggest overvaluation, raising concerns about the stock's current price, despite strong Q1 results and gross margin expansion.
Sleep Number's recent financial results were unimpressive, but the stock also hit a 3-year low on the first day of June. Despite its recent gains, the stock trades for just 13 times next year's projected earnings.
The boom and bust mattress business may be cheap right now.
Sleep Number Corporation (SNBR) Q1 2023 Earnings Call Transcript.
Sleep Number (SNBR) came out with quarterly earnings of $0.51 per share, beating the Zacks Consensus Estimate of $0.35 per share. This compares to earnings of $0.09 per share a year ago.
The company sees better times ahead in 2023.