Shares of the jeweler are spiking 12.7% to $4.79 on Wednesday, after the company announced that its fourth-quarter profit quadrupled. Nonetheless, earnings still fell short of estimates.
During the three-month period, Zale earned $27.2 million, or 73 cents a share, compared with $6.7 million, or 21 cents, in the year prior. Analysts were calling for a profit of $1.27 a share.Revenue grew nearly 8% to $626.4 million, while same-store sales jumped 7.9%. Wall Street expected sales of $624.15 million. Despite lower-than-expected profit, Wednesday's report is a stark contrast from Zale's holiday period last year, when it posted an 11.3% plunge in same-store sales. At the time, Zale faced a liquidity crisis and was forced to cancel orders ahead of the holiday season. --Written by Jeanine Poggi in New York.
>To contact the writer of this article, click here: Jeanine Poggi. >To follow the writer on Twitter, go to http://twitter.com/jpoggi. >To submit a news tip, send an email to: firstname.lastname@example.org.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV