Stage Stores (SSI) Stock Plunges on Earnings Miss

Stage Stores (SSI) stock is declining on heavy trading volume on Thursday, after the company posted a loss for the 2015 third quarter.
By Amanda Albright ,

NEW YORK (TheStreet) -- Stage Stores  (SSI) - Get Report stock is plummeting 22.01% to $7.05 on heavy trading volume on Thursday, after the company's 2015 third quarter earnings results missed expectations. 

Before the market open on Thursday, the Houston-based company, which operates Peebles, Bealls and Goody's stores, reported a loss of 29 cents per share.  Revenue declined 3.5% year over year to $351.6 million. 

Analysts were expecting the company to report a loss of 19 cents per share on revenue of $359 million.

"Our third quarter results were negatively impacted by stores located in geographies which were pressured by oil and gas and a devalued peso," CEO Michael Glazer said in a statement. "We will manage our business with discipline around inventory control, implement additional cost reductions and maintain our focus on improving store productivity and driving online sales."

Additionally, the company projected its same-store sales to decline 2% to 4% in the fourth quarter.

So far today, 3.07 million shares of Stage Stores have traded, versus its 30-day average of about 705,000 shares.

Separately, TheStreet Ratings team rates STAGE STORES INC as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation:

We rate STAGE STORES INC (SSI) a HOLD. The primary factors that have impacted our rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its revenue growth, reasonable valuation levels and good cash flow from operations. However, as a counter to these strengths, we also find weaknesses including unimpressive growth in net income, poor profit margins and a generally disappointing performance in the stock itself.

You can view the full analysis from the report here: SSI

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Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of Jim Cramer, TheStreet or any of its contributors.

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