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Major Movers on June 14; RH, GRPN, CASY, SWHC, GME

Shares of Restoration Hardware Holdings Inc. (NYSE: RH) catapulted about 18% by afternoon trade. The home furnisher late on Thursday announced fiscal first quarter results. The Company said that first quarter loss narrowed due to lower expenses. The Company earned 6 cents a share on non-GAAP basis against a loss of 4 cents a share, in the same quarter of last year. Analysts’ consensus estimate was for earnings of 4 cents a share, according to a data compiled by Thomson Reuters. Revenue climbed 38% to $301.34 million from $217.92 million, in the year earlier quarter and topping Street’s estimate for $299.13 million. Same-store-sales jumped 41% compared to 26% in the same period of last fiscal year.

Operating expenses as a percentage of revenue stood at 33.6% from 35.5%, in the year earlier quarter. For the current quarter, Restoration is expecting non-GAAP earnings of 40 cents to 42 cents a share on revenue of $375 million to $380 million. Analysts’ consensus forecast was for 39 cents a share on revenue of $354.83 million. The Company also raised its full-year outlook. Restoration now expects non-GAAP earnings to be in the range of $1.41 to $1.47 a share on revenue of $1.47 billion to $1.51 billion up from $1.29 to $1.37 a share on revenue of $1.42 billion to $1.45 billion. Analysts were expecting earnings of $1.40 a share on revenue of $1.48 billion.

Shares of Groupon Inc. (NASDAQ: GRPN) skyrocketed about 14% by afternoon trade.

Deutsche Bank upgraded the daily deals site stock to “buy” from “hold” and raised the price target on shares to $10 from $6, citing that billings could increase 20% due to strategic shift in its marketing. Deutsche Bank’s lead analyst Ross Sandler said that Groupon now focuses marketing through its apps and website as opposed to e-mail based system. In January 2013, mobile transactions accounted 25% of the total.

Shares of Casey’s General Stores Inc. (NASDAQ: CASY) plunged about 3.75% by afternoon trade. The convenience store chain’s fiscal fourth quarter profit was weighed down by higher expenses. Revenue also missed Street’s expectation. For the quarter which ended April 30, Casey’s posted a profit of $23.3 million or 66 cents a share. Revenue edged up 3.2% to $1.81 billion. Analysts were expecting earnings of 62 cents a share on sales of $1.83 billion. Gross margin widened to 14.7% from 14% in spite of 2.3% rise in input costs. Nevertheless, operating costs jumped 8.6%. The Company charged $1.5 million towards account receivable write off in the recently concluded quarter. The Company is expecting to book a charge of $700,000 linked to seven underperforming stores in the new fiscal year.

Shares of Smith & Wesson Holding Corporation (NASDAQ: SWHC) Late last evening, the gumaker reported its preliminary fourth quarter results. For the fiscal fourth quarter ended April 30, the gun maker expects adjusted earnings of 44 cents a share against 27 cents a share, in the year earlier quarter. Sales are expected to surge 38% to $179 million. Analysts polled by Thomson Reuters had forecasted earnings of 40 cents a share on revenue of $170.72 million.

Shares of GameStop Corp. (NYSE: GME) gained about 3.60% by afternoon trade after analysts at Oppenheimer upgraded the video game retailer’s stocks to “outperform” from “perform”.

 


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