Earnings, Latest, Stocks

Earnings Announcement (Sep 21-Sep 25): Nike, Costco, Accenture, and more

Written by Leonardo Hadi · 1 min read >
5/5 (4)

Nike, Inc. (NYSE: NKE) is expected to earn $0.45 per share for the fiscal quarter ending in Aug 2020. The earnings per share (EPS) for the same quarter last year is $0.86. Nike missed the earnings estimate for the last quarter ending in May 2020 by a significant amount of $0.02 expected vs -$0.51 actual. However, Nike beat the estimates by 44.44% in Feb 2020, 20.69% in Nov 2019, and 21.13% in Aug 2019. 

Nike is an activewear brand that designs, develops, and manufactures footwear, apparel, equipment, and accessories for fitness and sports. The Coronavirus pandemic has a significant negative impact on its sales in the last quarter. The outlook for Nike is pessimistic as many major sports events, such as the Tokyo Olympics, are canceled this year due to pandemic. Plus, strong competition from its major competitors, such as Lululemon and Under Armour has eroded Nike’s market share. These factors may contribute to a loss in potential revenue this year. 

Costco Wholesale Corporation (NASDAQ: COST) is expected to earn $2.85 per share for the fiscal quarter ending in Aug 2020. The earnings per share (EPS) for the same quarter last year is $1.89. Costco missed the earnings estimate for the last quarter ending in May 2020 by -1.56%. Costco beat the estimates by 1.45% in Feb 2020, 1.76% in Nov 2019, and 5.91% in Aug 2019. 

Costco is a membership-only warehouse club that sells groceries, electronics, jewelry, and more. Costco is the second-largest retailer after Walmart. Costco’s earnings are more predictable than Nike as the previous estimates are very close to the actual. The Coronavirus pandemic negatively impacts Costco’s earnings last quarter, but Costco sales show consistent growth in the last four years. 

Carnival Corporation (NYSE: CCL) is expected to report -$2.21 per share for the fiscal quarter ending in Aug 2020. The earnings per share (EPS) for the same quarter last year is $2.62. Carnival missed the earnings estimate for the last two quarters by -80.33% and -21.43%, respectively, due to the Coronavirus pandemic. 

Carnival operates cruise ships around the world with more than 100 vessels and 10 cruise line brands. The company cancels all the operations since March 2020 due to the Coronavirus pandemic. Carnival plans to dispose of 18 ships, equivalent to 12% of its global fleet. The company is also delaying several ships that are under construction. The outlook is not so promising for Carnival as social distancing and travel lockdown continues. 

Please rate this

Written by Leonardo Hadi
MBA from the University of Illinois at Urbana-Champaign (UIUC). Quantitative Hedge Fund Investor. Profile

Leave a Reply