Limited Brands (NYSE: LTD ) is expected to report Q4 earnings on Feb. 27. Here's what Wall Street wants to see:
The 10-second takeaway
Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict Limited Brands's revenues will increase 8.0% and EPS will grow 16.7%.
The average estimate for revenue is $3.80 billion. On the bottom line, the average EPS estimate is $1.75.
Last quarter, Limited Brands logged revenue of $2.05 billion. GAAP reported sales were 5.7% lower than the prior-year quarter's $2.17 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
Last quarter, non-GAAP EPS came in at $0.26. GAAP EPS of $0.25 for Q3 were 19% lower than the prior-year quarter's $0.31 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the preceding quarter, gross margin was 40.9%, 480 basis points better than the prior-year quarter. Operating margin was 9.8%, 120 basis points better than the prior-year quarter. Net margin was 3.6%, 70 basis points worse than the prior-year quarter.
The full year's average estimate for revenue is $10.40 billion. The average EPS estimate is $2.91.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 567 members out of 663 rating the stock outperform, and 96 members rating it underperform. Among 226 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 211 give Limited Brands a green thumbs-up, and 15 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Limited Brands is outperform, with an average price target of $52.70.
Is Limited Brands the right retailer for your portfolio? Learn how to maximize your investment income and "Secure Your Future With 9 Rock-Solid Dividend Stocks," including one above-average retailing powerhouse. Click here for instant access to this free report.