Polo Ralph Lauren First Quarter Earnings Sneak Peek

S&P 500 (NYSE:SPY) component Polo Ralph Lauren (NYSE:RL) will unveil its latest earnings on Wednesday, August 8, 2012. Polo Ralph Lauren designs and sells premium lifestyle products, including apparel, accessories, fragrances and home furnishings.

Polo Ralph Lauren Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average analyst estimate is for net income of $1.78 per share, a decline of 6.3% from the company’s actual earnings for the year-ago quarter. During the past three months, the average estimate has moved down from $2.14. Between one and three months ago, the average estimate moved down. It also has dropped from $1.81 during the last month. For the year, analysts are projecting profit of $7.91 per share, a rise of 10.9% from last year.

Past Earnings Performance: The company has beaten estimates the last four quarters and is coming off a quarter where it topped forecasts by 14 cents, reporting net income of 99 cents per share against a mean estimate of profit of 85 cents per share.

Investing Insights: Is TV the Next Bullish Catalyst for Apple’s Stock?

A Look Back: In the fourth quarter of the last fiscal year, profit rose 29% to $94.4 million (99 cents a share) from $73.2 million (74 cents a share) the year earlier, exceeding analyst expectations. Revenue rose 13.7% to $1.62 billion from $1.43 billion.

Stock Price Performance: Between May 8, 2012 and August 2, 2012, the stock price fell $23.26 (-14.2%), from $163.38 to $140.12. The stock price saw one of its best stretches over the last year between July 12, 2012 and July 19, 2012, when shares rose for six straight days, increasing 11.2% (+$15.39) over that span. It saw one of its worst periods between November 14, 2011 and November 25, 2011 when shares fell for nine straight days, dropping 11.1% (-$17.31) over that span.

Wall St. Revenue Expectations: Analysts predict a rise of 3.3% in revenue from the year-earlier quarter to $1.58 billion.

Key Stats:

On the top line, the company is looking to build on two-straight revenue increases with this earnings announcement. Revenue rose 16.6% in the third quarter of the last fiscal year before climbing again in the fourth quarter of the last fiscal year of the last fiscal year.

Analyst Ratings: There are mostly holds on the stock with eight of 13 analysts surveyed giving that rating.

Balance Sheet Analysis: The company’s current ratio of assets to liabilities came in at 3.06 last quarter. Having a ratio above 2:1 is usually considered a good indicator of a company’s liquidity and ability to meet creditor demands.

Stocks with improving earnings metrics are worthy of your extra attention. In fact, “E = Earnings Are Increasing Quarter-Over-Quarter” is a core component of our CHEAT SHEET investing framework for this very reason. Don’t waste another minute — click here and get our CHEAT SHEET stock picks now.

(Company fundamentals by Xignite Financials. Earnings estimates provided by Zacks)

Don’t Miss These Additional Hot Stories:

Is Boeing Stock a DREAM Investment?

Are the Auto Makers Running on Fumes?

Time to Buy or Sell BofA Stock?