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Natural food company Hain Celestial (NASDAQ:HAIN) will be announcing earnings results tomorrow before market hours. Here’s what to look for.
Hain Celestial missed analysts’ revenue expectations by 4.4% last quarter, reporting revenues of $411.5 million, down 9.4% year on year. It was a disappointing quarter for the company, with a significant miss of analysts’ organic revenue and adjusted operating income estimates.
Is Hain Celestial a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Hain Celestial’s revenue to decline 6.6% year on year to $409.4 million, a further deceleration from the 3.7% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.13 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.
Looking at Hain Celestial’s peers in the shelf-stable food segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Lamb Weston delivered year-on-year revenue growth of 4.3%, beating analysts’ expectations by 2.4%, and Simply Good Foods reported revenues up 15.2%, topping estimates by 1.6%. Lamb Weston traded up 9.1% following the results while Simply Good Foods was also up 9.2%.
Read our full analysis of Lamb Weston’s results here and Simply Good Foods’s results here.
There has been positive sentiment among investors in the shelf-stable food segment, with share prices up 2.1% on average over the last month. Hain Celestial is down 24.3% during the same time and is heading into earnings with an average analyst price target of $5.60 (compared to the current share price of $2.90).
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