Torrid Earnings: What To Look For From CURV

Women’s plus-size apparel retailer Torrid Holdings (NYSE:CURV) will be reporting earnings tomorrow after the bell. Here's what to expect.

Torrid beat analysts' revenue expectations by 6.3% last quarter, reporting revenues of $293.5 million, down 2.6% year on year. It was a solid quarter for the company, with an impressive beat of analysts' revenue and earnings estimates.

Is Torrid a buy or sell going into earnings? Read our full analysis here, it's free.

This quarter, analysts are expecting Torrid's revenue to decline 4.5% year on year to $280.5 million, improving from the 11.8% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.08 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. Torrid has only missed Wall Street's revenue estimates once over the last two years, exceeding top-line expectations by 4% on average.

Looking at Torrid's peers in the apparel retailer segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Gap delivered year-on-year revenue growth of 3.4%, beating analysts' expectations by 3.1%, and Abercrombie and Fitch reported revenues up 22.1%, topping estimates by 5.8%. Gap traded up 29.3% following the results while Abercrombie and Fitch was also up 17.1%.

Read our full analysis of Gap's results here and Abercrombie and Fitch's results here.

Investors in the apparel retailer segment have had steady hands going into earnings, with share prices flat over the last month. Torrid is up 12.7% during the same time and is heading into earnings with an average analyst price target of $5.4 (compared to the current share price of $6.49).

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