Yahoo Finance Mister Car Wash (MCW) Q2 Earnings Report Preview: What To Look For
Conveyorized car wash service company Mister Car Wash (NYSE:MCW) will be reporting results tomorrow after market hours. Here's what you need to know.
Mister Car Wash missed analysts' revenue expectations by 1.5% last quarter, reporting revenues of $239.2 million, up 5.9% year on year. It was a mixed quarter for the company, with a narrow beat of analysts' earnings estimates but underwhelming earnings guidance for the full year.
Is Mister Car Wash a buy or sell going into earnings? Read our full analysis here, it's free.
This quarter, analysts are expecting Mister Car Wash's revenue to grow 7.8% year on year to $255.4 million, improving from the 5.2% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.09 per share.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Mister Car Wash has missed Wall Street's revenue estimates four times over the last two years.
Looking at Mister Car Wash's peers in the consumer discretionary segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Pool's revenues decreased 4.7% year on year, beating analysts' expectations by 1.5%, and LKQ reported revenues up 7.6%, falling short of estimates by 4%. Pool traded up 14% following the results while LKQ was down 9.6%.
Read our full analysis of Pool's results here and LKQ's results here.
There has been positive sentiment among investors in the consumer discretionary segment, with share prices up 11.2% on average over the last month. Mister Car Wash is up 12.1% during the same time and is heading into earnings with an average analyst price target of $9.4 (compared to the current share price of $7.53).
When a company has more cash than it knows what to do with, buying back its own shares can make a lot of sense–as long as the price is right. Luckily, we’ve found one, a low-priced stock that is gushing free cash flow AND buying back shares. Click here to claim your Special Free Report on a fallen angel growth story that is already recovering from a setback.
