NutriSystem Inc. (NASDAQ: NTRI) is having an overwhelmingly strong start to the trading session this morning, and for good reason. The company reported its earnings for the first fiscal quarter of 2018, beating expectations and exciting investors. Today, we’ll talk about:
- The earnings report;
- what we’re seeing from the stock;
- and what we’ll be watching for with regard to NTRI ahead.
NTRI Reports Earnings
As mentioned above, NutriSystem is having an incredibly strong day in the market today after reporting earnings ahead of expectations. Here’s what we saw from the report:
- Earnings Per Share – In terms of earnings per share, NTRI did incredibly well. During the quarter, analysts expected that the company would generate earnings in the amount of $0.07 per share. However, the company actually reported earnings in the amount of $0.09 per share.
- Revenue – When it comes to revenue, we saw more positive news. During the quarter, analysts expected that the company would generate revenue in the amount of $207.5 million. However, the company actually reported revenue in the amount of $210.9 million.
- Guidance – In terms of guidance, NTRI gave even more reasons to be excited. For the current quarter, the company es expecting that revenue will come in the range between $186 million and $191 million with full year revenue ranging from $693 million to $708 million. In terms of EPS, the company is expecting to report full year earnings in the range between $2.04 per share and $2.14 per share.
In a statement, Dawn Zier, President and CEO at NTRI, had the following to offer:
We’re pleased first quarter 2018 revenue and earnings per share exceeded our expectations, driven by better than expected results in Nutrisystem’s direct-to-consumer business. As anticipated, South Beach Diet revenues increased significantly year-over-year, and we remain excited about the long-term opportunity it represents.
Our multi-brand strategy, supported by our strong ecommerce and supply chain platforms, has us well positioned in our growing category. Key metrics for both of our brands are sound and continuing to improve, reinforcing our confidence in delivering meaningful growth in 2019.
What We’re Seeing From The Stock
One of the first things that we learn when we start to dig into the market is that the news causes moves. In this particular case, the news proved to be overwhelmingly positive. After all, NutriSystem reported earnings ahead of expectations with incredibly strong guidance to add to the excitement. So, it’s no surprise that the stock is headed for the top in the market today. At the moment (10:20), NTRI is trading at $35.10 per share after a gain of $6.10 per hare or 21.03% thus far today.
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What We’ll Be Watching For Ahead
Moving forward, the CNA Finance team will continue to keep a close eye on NTRI. In particular, we’re interested in following the company’s financial results to see if they can keep up with the strong guidance they have presented. Nonetheless, we’ll continue to follow the story closely and bring the news to you as it breaks!
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