Pet lovers will want to buy Chewy (CHWY) today. After the market closed yesterday, the firm posted an 18-cent non-GAAP EPS. Revenue and gross margin improved slightly year-over-year.
Bulls will accumulate the stock after the chart indicated a multiple bottom at around $16.00. Conversely, bears hold an aggressive 15.41% short float.
In the food sector, General Mills (GIS) should sustain its pre-earnings uptrend. It posted a Q3 non-GAAP EPS of $1.17. Revenue fell by 1% Y/Y to $5.1 billion. The firm offset lower pound volume sales with a higher net price and favorable product mix. Organic sales rose by 7%, albeit using a 2-year compound growth measure.
GIS is the perfect boring stock. It rises steadily as the firm maximizes profit growth over the long term.
After the market closes, watch the earnings report from clothing firm Nike (NKE). Though Q3 revenue will fall by 0.7%, its first in around two years, Nike’s strong branding may help results. Still, weak sales in the struggling economy of China may lead to disappointing results.
Lululemon (LULU) has yet to disappoint investors. It should post Q4 EPS growing by 14.1% Y/Y to $5.02. Cautious investors may not want to pay a premium for LULU stock.
FedEx (FDX) will post results that will get investor attention. It previously lowered its full-year outlook, blaming pressure on its top line. FDX stock may erase its pre-earnings rally after shares added around $20.
