Barfresh Food Group Inc. (BRFH) announced a disappointing quarterly performance, reporting a loss of $0.07 per share, exceeding the previous year’s loss but falling short of the Zacks Consensus Estimate of a loss of $0.04. This represents an earnings surprise of -75%. The company also missed revenue expectations, reporting $1.46 million in revenue for the quarter ended June 2024, a decline from the year-ago revenue of $1.51 million. This missed the Zacks Consensus Estimate by 35.51%.
While Barfresh Food Group’s stock has seen significant gains this year, rising by 107.6% since the beginning of the year, the future outlook for the company remains uncertain. The company’s earnings outlook is a crucial factor to consider, and investors will need to analyze how current and future earnings expectations are evolving. The recent earnings report, while disappointing, has resulted in a Zacks Rank of #3 (Hold), suggesting that the stock is expected to perform in line with the market in the near future.
The Zacks Rank, a widely recognized rating tool, utilizes earnings estimate revisions to predict stock performance. It has a proven track record of success and is a valuable tool for investors looking to make informed decisions. The recent mixed trend in estimate revisions for Barfresh Food Group, while potentially subject to change following the earnings release, suggests that the company’s performance will align with the broader market in the near term.
Investors should also be mindful of the overall industry outlook, as it can significantly impact the performance of individual stocks. The Beverages – Soft drinks industry, where Barfresh Food Group operates, currently sits in the bottom 23% of the 250+ Zacks industries. This highlights the industry’s relative weakness and suggests that investors may need to be more cautious when considering investments in the sector.
The company’s current consensus EPS estimate for the coming quarter stands at -$0.01, with revenue estimated at $3.49 million. For the current fiscal year, the consensus EPS estimate is -$0.08, with revenue projected at $13.21 million. These estimates are subject to change in the coming weeks and months as further information becomes available and analysts adjust their forecasts.
In addition to Barfresh Food Group, another company within the broader Zacks Consumer Staples sector, Ollie’s Bargain Outlet (OLLI), is expected to report its earnings for the quarter ended July 2024. Analysts expect the retailer to post earnings of $0.78 per share, a year-over-year increase of +16.4%. Over the last 30 days, the consensus EPS estimate for Ollie’s Bargain Outlet has been revised upwards by 0.6%. Revenue for the quarter is expected to reach $562.37 million, representing a 9.3% year-over-year increase.
