Investing

Earnings Previews: Box, FuboTV, HPE, Nordstrom, Dollar Tree

Two analysts currently have Underperform ratings on HPE stock, while 16 have Hold ratings and seven have Buy or Strong Buy ratings. The consensus price target is $14.32, and shares traded at around $14.71 on Monday after posting a new 52-week high of $14.98. At the high price target of $18, the potential upside on the stock is around 18%.

Analysts expect the company to report first-quarter fiscal 2021 EPS of $0.41 on sales of $6.7 billion. Both are below the numbers posted a year ago. The forecast for the full fiscal year ending in October calls for EPS of $1.67 on sales of $27.7 billion, an increase in profits of about 4.4%, and sales of about 1.2%. HP Enterprise shares trade at around nine times expected fiscal 2021 earnings and eight times expected EPS in 2022 and 2023.

Nordstrom

The last of our previews for reports due Tuesday afternoon is on Nordstrom Inc. (NYSE: JWN). The stock lost about 23% in 2020, after regaining well over half its 73% deficit at its low point in October. For the year to date, the stock is up 22.6%, and shares are up 11.7% for the past 12 months.

The company has raised more liquidity (through debt), and the shares received a bit of a boost based on the likelihood of a new COVID-19 relief package. The company is expected to post EPS for its fourth quarter of fiscal 2021 of $0.14 and a full-year loss of $4.40. Revenue for the quarter is expected to drop by nearly 21% year over year to $3.6 billion, and full-year sales are forecast to decline by 31% to $10.7 billion.

Analysts mostly like the stock for its prospects, with only five giving it an Underperform rating while 17 rate the stock a Hold and four rate it a Buy or Strong Buy. The consensus price target on the stock is $33.06, and shares traded Monday at around $38.40. At the high price target of $45, the potential upside on Nordstrom stock is 17%.

Fiscal 2022 earnings per share are currently forecast at around $1.40, for a multiple of more than 25 times expected EPS for the year.

Dollar Tree

On Wednesday morning, low-price retailer Dollar Tree Inc. (NASDAQ: DLTR) reports fiscal 2021 (ended in January) results. For the calendar year, Dollar Tree stock gained nearly 15%. A downbeat report from BofA Securities that lowered the company’s rating from Neutral to Underperform weighed on the share price last month, and shares are trading down about 8% for the year to date.

Analysts are expecting fourth-quarter EPS of $2.11, up about 18% year over year, on sales of $6.8 billion (up 7.4%). For the full year, EPS is forecast at $5.61, up 18%, and sales are forecast to rise 8.2% to $25.6 billion.

At the current share price of around $99.20, the stock traded about 22% below the consensus price target of $121 and about 41% below the high target of $140.

The stock’s 2021 EPS multiple to its trading price is around 18, while the multiple to 2022 EPS is around 16 and the multiple to 2023 earnings is about 14.