{"id":69994,"date":"2023-08-16T09:04:46","date_gmt":"2023-08-16T13:04:46","guid":{"rendered":"https:\/\/blog.t3live.com\/?p=69994"},"modified":"2023-08-16T09:04:46","modified_gmt":"2023-08-16T13:04:46","slug":"coffee-with-greta-more-retail-results","status":"publish","type":"post","link":"https:\/\/blog.t3live.com\/2023\/08\/16\/coffee-with-greta-more-retail-results\/","title":{"rendered":"Coffee With Greta: More Retail Results"},"content":{"rendered":"

Register now<\/a> for today's free Q&A event on LinkedIn with Scott Redler!<\/b><\/p>\n

DJIA Futures: <\/b>-40 (-0.1%)<\/span><\/p>\n

SPX Futures: <\/b>-5 (-0.1%)<\/span><\/p>\n

NASDAQ Futures: <\/b>-21 (-0.1%)<\/span><\/p>\n

Good morning friends!<\/span><\/p>\n

Futures are slightly lower as traders digest the latest batch of earnings.<\/span><\/p>\n

Let\u2019s get right to it!<\/span><\/p>\n

Target Jumps Despite Slashing Forecast<\/span><\/h2>\n

Target <\/b>(TGT) shares are up 6.5% ahead of the open despite reporting mixed Q2 results and cutting its full-year outlook.\u00a0<\/span><\/p>\n

Here\u2019s how the retailer\u2019s results compared to analysts\u2019 estimates:\u00a0<\/span><\/p>\n

    \n
  • EPS: $1.80 vs $1.39 expected<\/span><\/li>\n
  • Revenue: $24.77 billion vs $25.16 billion expected<\/span><\/li>\n<\/ul>\n

    The market seems focused on the profit beat and improving inventory levels.\u00a0<\/span><\/p>\n

    Total revenue was down 5% year over year and comparable sales dropped 5.4% vs a 3.7% drop expected.\u00a0<\/span><\/p>\n

    The CEO said sales softened in the second half of May into June before rebounding in July.\u00a0<\/span><\/p>\n

    Inventory was down 17% compared to a year ago, including a 25% drop in discretionary categories.<\/span><\/p>\n

    Target now expects comparable sales to decline by mid single digits for the full fiscal year and EPS between $7 and $8 vs $7.75 to $8.75 previously.\u00a0<\/span><\/p>\n

    TJX Jumps After Earnings<\/span><\/h2>\n

    TJX Companies <\/b>(TJX) shares are 2.1% higher in premarket trading after beating Q2 expectations and hiking its guidance.\u00a0<\/span><\/p>\n

    Here\u2019s how the discount retailer\u2019s results compared to analysts\u2019 estimates:\u00a0<\/span><\/p>\n

      \n
    • Adjusted EPS: $0.85 vs $0.77 expected<\/span><\/li>\n
    • Revenue: $12.8 billion vs $12.5 billion expected<\/span><\/li>\n<\/ul>\n

      TJX hiked its full-year outlook now expecting adjusted EPS to range between $3.56 and $3.62 vs $3.39 to $3.48 previously.<\/span><\/p>\n

      Analysts expected full-year adjusted earnings of $3.59 per share.\u00a0<\/span><\/p>\n

      TJX forecast Q3 EPS between $0.95 and $0.98 and Q4 EPS between $1 and $1.03.<\/span><\/p>\n

      Cava\u2019s First Earnings Report<\/span><\/h2>\n

      Cava <\/b>(CAVA) shares are rallying 9.1% ahead of the open after reporting a profit in its first earnings release after IPO.\u00a0<\/span><\/p>\n

      Here\u2019s how the Mediterranean restaurant chain\u2019s results compared to analysts\u2019 estimates:\u00a0<\/span><\/p>\n

        \n
      • EPS: $0.21<\/span><\/li>\n
      • Revenue: $172.9 million vs $163 million expected<\/span><\/li>\n<\/ul>\n

        Net sales soared 62% and Cava said it opened 16 new restaurants during the quarter.\u00a0<\/span><\/p>\n

        Same-store sales were up 18.2% and traffic grew 10.3%.<\/span><\/p>\n

        Cava\u2019s menu prices were up 8% year over year but the company said it does not plan to raise prices further.\u00a0<\/span><\/p>\n

        The company forecast full-year same-store sales growth of between 13% and 15% and adjusted EBITDA of $62 million to $67 million.\u00a0<\/span><\/p>\n

        Cava plans to open 65 to 70 new locations this year.<\/span><\/p>\n

        Home Building Rebounds<\/span><\/h2>\n

        New home construction rebounded in July.\u00a0<\/span><\/p>\n

        The Census Bureau reported housing starts jumped 3.9% from June to a seasonally adjusted annual rate of 1.45 million units.\u00a0<\/span><\/p>\n

        That was in line with expectations and up 5.9% year over year.\u00a0<\/span><\/p>\n

        Single-family starts jumped 6.7% monthly and multi-family starts were unchanged.<\/span><\/p>\n

        Building permits issued rose just 0.1% monthly to a seasonally adjusted annual rate of 1.44 million units vs 1.47 million expected.\u00a0<\/span><\/p>\n

        Permits were down 13% year over year.<\/span><\/p>\n

        Single-family permits rose 0.6% monthly while multi-family permits dropped 0.2%.<\/span><\/p>\n

        Mortgage Demand Drops<\/span><\/h2>\n

        Mortgage demand dropped last week as rates pushed higher.\u00a0<\/span><\/p>\n

        The Mortgage Bankers Association reported total application volume was 29% lower year over year.\u00a0<\/span><\/p>\n

        Purchase applications were unchanged weekly and 26% lower than a year ago.\u00a0<\/span><\/p>\n

        Refinance application fell 2% weekly and 35% year over year.\u00a0<\/span><\/p>\n

        The drop came as the average 30-year fixed contract rate rose to 7.16% from 7.09%.\u00a0<\/span><\/p>\n

        That was the third straight weekly increase and the highest since October 2022.\u00a0<\/span><\/p>\n

        But applications for a mortgage to purchase a newly built home jumped 35.5% year over year.\u00a0<\/span><\/p>\n

        The FHA share of those applications hit the highest level since May 2020, indicating more first-time buyers are turning to new construction amid the lack of existing inventory.<\/span><\/p>\n

        In Case You Missed It<\/span><\/h2>\n
          \n
        • Homebuilder sentiment fell unexpectedly this month as mortgage rates surge. The National Association of Homebuilders sentiment index dropped 6 points in August to 50 vs expectations for 57. It was the first decline in seven months and the lowest reading since May. Sentiment about current sales conditions fell 5 points to 57, buyer traffic dropped 6 points to 34, and 6-month sales expectations fell 4 points to 55. The share of builders cutting prices in August rose to 25% vs 22% in July and the average price cut remained at 6%.<\/span><\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"

          Register now for today’s free Q&A event on LinkedIn with Scott Redler! DJIA Futures: -40 (-0.1%) SPX Futures: -5 (-0.1%) NASDAQ Futures: -21 (-0.1%) Good morning friends! Futures are slightly lower as traders digest the latest batch of earnings. Let\u2019s get right to it! Target Jumps Despite Slashing Forecast Target (TGT) shares are up 6.5% ahead of the open despite reporting mixed Q2 results and cutting its full-year outlook.\u00a0 Here\u2019s how the retailer\u2019s results compared to analysts\u2019 estimates:\u00a0 EPS: $1.80 vs $1.39 expected Revenue: $24.77 billion vs $25.16 billion expected The market seems focused on the profit beat and improving inventory levels.\u00a0 Total revenue was down 5% year over year and comparable sales dropped 5.4% vs a 3.7% drop expected.\u00a0 The CEO said sales softened in the second half of May into June before rebounding in July.\u00a0 Inventory was down 17% compared to a year ago, including a 25% drop in discretionary categories. Target now expects comparable sales to decline by mid single digits for the full fiscal year and EPS between $7 and $8 vs $7.75 to $8.75 previously.\u00a0 TJX Jumps After Earnings TJX Companies (TJX) shares are 2.1% higher in premarket trading after beating Q2 expectations and hiking its guidance.\u00a0 Here\u2019s how the discount retailer\u2019s results compared to analysts\u2019 estimates:\u00a0 Adjusted EPS: $0.85 vs $0.77 expected Revenue: $12.8 billion vs $12.5 billion expected TJX hiked its full-year outlook now expecting adjusted EPS to range between $3.56 and $3.62 vs $3.39 to $3.48 previously. Analysts expected full-year adjusted earnings of $3.59 per share.\u00a0 TJX forecast Q3 EPS between $0.95 and $0.98 and Q4 EPS between $1 and $1.03. Cava\u2019s First Earnings Report Cava (CAVA) shares are rallying 9.1% ahead of the open after reporting a profit in its first earnings release after IPO.\u00a0 Here\u2019s how the Mediterranean restaurant chain\u2019s results compared to analysts\u2019 estimates:\u00a0 EPS: $0.21 Revenue: $172.9 million vs $163 million expected Net sales soared 62% and Cava said it opened 16 new restaurants during the quarter.\u00a0 Same-store sales were up 18.2% and traffic grew 10.3%. Cava\u2019s menu prices were up 8% year over year but the company said it does not plan to raise prices further.\u00a0 The company forecast full-year same-store sales growth of between 13% and 15% and adjusted EBITDA of $62 million to $67 million.\u00a0 Cava plans to open 65 to 70 new locations this year. Home Building Rebounds New home construction rebounded in July.\u00a0 The Census Bureau reported housing starts jumped 3.9% from June to a seasonally adjusted annual rate of 1.45 million units.\u00a0 That was in line with expectations and up 5.9% year over year.\u00a0 Single-family starts jumped 6.7% monthly and multi-family starts were unchanged. Building permits issued rose just 0.1% monthly to a seasonally adjusted annual rate of 1.44 million units vs 1.47 million expected.\u00a0 Permits were down 13% year over year. Single-family permits rose 0.6% monthly while multi-family permits dropped 0.2%. Mortgage Demand Drops Mortgage demand dropped last week as rates pushed higher.\u00a0 The Mortgage Bankers Association reported total application volume was 29% lower year over year.\u00a0 Purchase applications were unchanged weekly and 26% lower than a year ago.\u00a0 Refinance application fell 2% weekly and 35% year over year.\u00a0 The drop came as the average 30-year fixed contract rate rose to 7.16% from 7.09%.\u00a0 That was the third straight weekly increase and the highest since October 2022.\u00a0 But applications for a mortgage to purchase a newly built home jumped 35.5% year over year.\u00a0 The FHA share of those applications hit the highest level since May 2020, indicating more first-time buyers are turning to new construction amid the lack of existing inventory. In Case You Missed It Homebuilder sentiment fell unexpectedly this month as mortgage rates surge. The National Association of Homebuilders sentiment index dropped 6 points in August to 50 vs expectations for 57. It was the first decline in seven months and the lowest reading since May. Sentiment about current sales conditions fell 5 points to 57, buyer traffic dropped 6 points to 34, and 6-month sales expectations fell 4 points to 55. The share of builders cutting prices in August rose to 25% vs 22% in July and the average price cut remained at 6%.<\/p>\n","protected":false},"author":41,"featured_media":69997,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[739],"tags":[],"class_list":["post-69994","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-coffee-with-greta"],"_links":{"self":[{"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/posts\/69994","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/users\/41"}],"replies":[{"embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/comments?post=69994"}],"version-history":[{"count":2,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/posts\/69994\/revisions"}],"predecessor-version":[{"id":69998,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/posts\/69994\/revisions\/69998"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/media\/69997"}],"wp:attachment":[{"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/media?parent=69994"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/categories?post=69994"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/tags?post=69994"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}