NEW YORK (TheStreet) -- Tempur Sealy International (TPX) - Get Tempur Sealy International Inc Report shares are down 11.43% to $52 in trading on Friday after the bedding provider cut its fourth quarter outlook after the closing bell on Thursday.
The company missed analysts third quarter earnings guidance of 89 cents per diluted share by one cent, posting an adjusted EPS of 88 cents per share.
Revenue for the period rose 12% to $827.4 million from $735.5 million last year, ahead of analysts expectations of $796.94 million.
The company also lowered its full year earnings forecast to between $2.60 and $2.70 while upping its revenue expectations to between $2.97 billion and $3 billion. Tempur Sealy previously guided full year earnings between $2.60 and $2.85 per diluted share on revenue between $2.93 billion and $2.98 billion.
Analysts are expecting earnings $2.73 per share on revenue of $2.95 billion for the period.
TheStreet Ratings team rates TEMPUR SEALY INTL INC as a Hold with a ratings score of C+. TheStreet Ratings Team has this to say about their recommendation:
"We rate TEMPUR SEALY INTL INC (TPX) 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, good cash flow from operations and solid stock price performance. However, as a counter to these strengths, we also find weaknesses including unimpressive growth in net income, generally higher debt management risk and feeble growth in the company's earnings per share."
Highlights from the analysis by TheStreet Ratings Team goes as follows:
- You can view the full analysis from the report here: TPX Ratings Report