Earnings Previews: Williams-Sonoma, China Nepstar, Pacific Sunwear Report Q2 Results Tuesday

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 |  Includes: NPD, PSUN, WSM
by: Robert Weinstein

Williams-Sonoma, Inc. (NYSE:WSM) is due to report earnings before the opening bell on Tuesday, August 23. WSM trades an average of 2.09 million shares per day and has a market cap of $3.25 billion. Williams-Sonoma, Inc. operates as a specialty retailer of home products. The company was founded in 1956 and is headquartered in San Francisco, California.

Recent price: $30.09
52-week high: $45.48
52-week low: $24.57
Book value: $11.95

Analysts are expecting an improvement of $0.08 in earnings per share compared to last quarter's results of $0.30. The estimated mean earnings are $0.38 per share. Analyst estimates range between $0.35 and $0.38 per share. In the last month, the stock has decreased in price -19.47 %, in the last quarter, it has returned -19.74%, with a one year change of 15.04%. Comparing to the S&P 500 price changes, the price performances are -10.42% vs. the S&P 500 from a month ago, -7.90% vs. the S&P 500 from six months ago, and the year to date difference is -8.23% vs. the S&P 500 price change.
The company has rising revenue year-over-year of $3.50 billion for 2011 vs. $3.10 billion for 2010. The bottom line has rising earnings year-over-year of $200.23 million for 2011 vs. $77.44 million for 2010. The company's earnings before income and taxes are rising with an EBIT year-over-year of $323.41 million for 2011 vs. $121.44 million for 2010. Annually, revenue is growing at a rate of 12.9%.
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Gross reported revenue compared to the mean estimate (rounded).

Fiscal Quarter Ending Month-Year Revenue Estimates Actual $ Difference Difference %
Apr-11 $ 765.41 M $ 770.83 M $ 5.42 M 0.71%
Jan-11 $ 1.18 B $ 1.20 B $ 17.28 M 1.47%
Oct-10 $ 799.41 M $ 815.52 M $ 16.11 M 2.02%
Jul-10 $ 757.85 M $ 775.55 M $ 17.70 M 2.34%
Apr-10 $ 675.29 M $ 717.64 M $ 42.35 M 6.27%
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M = millions, B = billions

Reported earnings per share compared to the mean estimate. Differences are rounded.

Fiscal Quarter Ending Month-Year Estimate Actual Difference Difference %
Apr-11 0.28 0.30 0.02 7.14%
Jan-11 0.98 1.08 0.10 10.2%
Oct-10 0.31 0.35 0.04 12.9%
Jul-10 0.22 0.31 0.09 40.91%
Apr-10 0.12 0.23 0.11 91.67%
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(Some onetime items are often excluded in reported EPS.)
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China Nepstar Chain Drugstore (NYSE:NPD) is due to report earnings before the opening bell on Tuesday, August 23. NPD trades an average of 0.13 million shares per day and has a market cap of $275.38 million. The company was founded in 1995 and is headquartered in Shenzhen, China.

Recent price: $2.69
52-week high: $5.70
52-week low: $2.05
Book value: $2.07

Investors will be looking to top $0.02 per share, based on the estimated mean earnings. Relative to the earnings, investors have not been as aggressive accumulating shares, as the current trailing 12 months (ttm) P/E ratio is 265, while the forward P/E ratio is now 134.5. Looking at the price movement over the last month, the stock has fallen in price 11.37 %, in the last quarter, it has returned -6.56%, with a one year change of -11.37%.
Comparing to the S&P 500 price changes, the price performances are -1.41% vs. the S&P 500 from a month ago, -23.57% vs. the S&P 500 from six months ago, and the year to date difference is -27.05% vs. the S&P 500 price change.
For the same fiscal period year-over-year, revenue has improved to $357.62 million for 2010 vs. $324.83 million for 2009. The bottom line has falling earnings year-over-year of $2.51 million for 2010 vs. $20.50 million for 2009. The company's earnings before income and taxes are falling with an EBIT year-over-year of $3.23 million for 2010 vs. $16.18 million for 2009. Revenue growth is at an annual rate of 10.09%.
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Gross reported revenue compared to the mean estimate (rounded).

Fiscal Quarter Ending Month-Year Revenue Estimates Actual $ Difference Difference %
Mar-11 $ 90.97 M $ 94.39 M $ 3.42 M 3.76%
Dec-10 $ 94.37 M $ 95.02 M $ 0.65 M 0.69%
Sep-10 $ 89.60 M $ 89.24 M $ -0.36 M -0.4%
Jun-10 $ 90.31 M $ 83.35 M $ -6.96 M -7.71%
Mar-10 $ 89.07 M $ 83.10 M $ -5.97 M -6.7%
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M = millions, B = billions

Reported earnings per share compared to the mean estimate. Differences are rounded.

Fiscal Quarter Ending Month-Year Estimate Actual Difference Difference %
Mar-11 0.02 0.02 0 0.00%
Dec-10 0.03 0.02 -0.01 -33.33%
Sep-10 0.03 0.01 -0.02 -66.67%
Jun-10 0.03 -0.02 -0.05 NA%
Mar-10 0.04 0.01 -0.03 -75%
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(As already noted, some onetime items are often excluded in reported EPS.)

Pacific Sunwear of California (NASDAQ:PSUN) is due to report earnings after the closing bell on Tuesday, August 23. PSUN trades an average of 0.96 million shares per day, and has a market cap of $141.87 million. Pacific Sunwear of California, Inc., together with its subsidiaries, operates as a specialty retailer in the action sports, fashion, and music influences of the California lifestyle. The company was founded in 1982 and is based in Anaheim, California.

Recent price: $2.21
52-week high: $6.84
52-week low: $1.86
Book value: $2.77

Analysts are expecting an improvement of $0.24 in earnings per share compared to last quarter's results of $-0.30. The reporting quarter's estimated mean earnings are $-0.06 per share. In the last month, the stock has decreased in price -28.19 %, in the last quarter, it has returned -35.03%, with a one year change of -49.77%. Comparing to the S&P 500 price changes, the price performances are -20.12% vs. the S&P 500 from a month ago, -45.85% vs. the S&P 500 from six months ago, and the year to date difference is -58.37% vs. the S&P 500 price change.
Revenue year-over-year has decreased to $929.51 million for 2011 vs. $1.03 billion for 2010. The bottom line has falling earnings year-over-year of $-96.65 million for 2011 vs. $-70.30 million for 2010. The company's earnings before income and taxes are falling with an EBIT year-over-year of $-95.14 million for 2011 vs. $-81.13 million for 2010. The annual growth rate of revenue is 90143.69%.
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Gross reported revenue compared to the mean estimate (rounded).

Fiscal Quarter Ending Month-Year Revenue Estimates Actual $ Difference Difference %
Apr-11 $ 180.73 M $ 185.75 M $ 5.02 M 2.78%
Jan-11 $ 265.37 M $ 262.96 M $ -2.41 M -0.91%
Oct-10 $ 250.97 M $ 257.90 M $ 6.93 M 2.76%
Jul-10 $ 213.08 M $ 218.34 M $ 5.26 M 2.47%
Apr-10 $ 186.19 M $ 190.31 M $ 4.12 M 2.21%
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M = millions, B = billions

Reported earnings per share compared to the mean estimate. Differences are rounded.

Fiscal Quarter Ending Month-Year Estimate Actual Difference Difference %
Apr-11 -0.33 -0.30 0.03 NA%
Jan-11 -0.32 -0.33 -0.01 NA%
Oct-10 -0.10 -0.07 0.03 NA%
Jul-10 -0.23 -0.22 0.01 NA%
Apr-10 -0.33 -0.30 0.03 NA%
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(Some onetime items are, as already mentioned, often excluded in reported EPS.)
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I use a proprietary blend of technical analysis, financial crowd behavior, and fundamentals in my short-term trades, and while not totally the same in longer swing trades to investments, the concepts used are similar. You may want to use this article as a starting point of your own research with your financial planner. I use Seeking Alpha, Edgar Online, Google Finance, MSN Money, CNBC, Zacks and Yahoo Finance for most of my data. I use the "confirmed" symbols from earnings.com that I believe to be of the most interest.

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.