Skip to main content
Publish date:

Tempur Sealy Stock: Mattress Buying Rebound Drives Earnings Beat

Company raises guidance and dividend, says its sales and earnings  are outpacing overall market.
Author:

Tempur Sealy  (TPX) - Get Tempur Sealy International Inc Report shares rose Thursday, as the company beat earnings expectations and raised its guidance and dividend on rebounding mattress sales.

The company said its second-quarter revenue soared 76% to $1.17 billion from $665 million last year, beating the FactSet analyst consensus of $1.13 billion.

This year’s results benefited from booming sales as the pandemic eased, while last year’s sales suffered as the pandemic raged.

Net income rose to $140.8 million, or 69 cents a share, in the latest quarter from $23.0 million, or 11 cents a share, a year earlier.

Adjusted earnings totaled 79 cents per share, topping analysts’ estimate of 57 cents.

TheStreet Recommends

Tempur stock recently traded at $39.25, up 4%, and soared 39% in the six months through Wednesday amid hopping consumer demand.

"While the strong industry and healthy consumer have been tailwinds for us recently, our sales and earnings growth has been significantly outpacing the overall market," said Tempur Chief Executive Scott Thompson in a statement.

The company boosted its full-year adjusted EPS forecast to a range to $3.10 to $3.25 from $2.50 to $2.70.

Tempur also increased its quarterly dividend to 9 cents a share from 7 cents.

In other major stock news Thursday, Robinhood  (HOOD) - Get Robinhood Markets, Inc. Class A Report shares will begin trading on the Nasdaq, after the online brokerage firm priced its hotly-anticipated IPO amid increased scrutiny from regulators and criticisms of its business model.

Robinhood sold 55 million shares at $38 each, the lower end of its $38 to $42 target, raising $2.1 billion and valuing the group at $31.8 billion.