The Honest Company (HNST) Reports Earnings Tomorrow: What To Expect
Personal care company The Honest Company (NASDAQ:HNST) will be reporting results tomorrow after the bell. Here's what investors should know.
The Honest Company beat analysts' revenue expectations by 7.3% last quarter, reporting revenues of $90.26 million, up 10.3% year on year. It was a very strong quarter for the company, with an impressive beat of analysts' earnings estimates.
Is The Honest Company a buy or sell going into earnings? Read our full analysis here, it's free.
This quarter, analysts are expecting The Honest Company's revenue to be flat year on year at $83.28 million, slowing from the 21.3% increase it recorded in the same quarter last year. Adjusted loss is expected to come in at -$0.09 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. The Honest Company has only missed Wall Street's revenue estimates once over the last two years, exceeding top-line expectations by 5% on average.
Looking at The Honest Company's peers in the personal care segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Coty delivered year-on-year revenue growth of 7.5%, meeting analysts' expectations, and USANA reported a revenue decline of 8.3%, in line with consensus estimates. USANA traded up 9.6% following the results.
Read our full analysis of Coty's results here and USANA's results here.
Investors in the personal care segment have had steady hands going into earnings, with share prices flat over the last month. The Honest Company is down 22.6% during the same time and is heading into earnings with an average analyst price target of $4.6 (compared to the current share price of $2.95).
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