NEW YORK (TheStreet) -- Shares of Pier 1 Imports Inc. (PIR) are lower by 11.20% to $13.80 in pre-market trading on Thursday, as the stock continues a decline it started in after-hours trading on Wednesday following its disappointing fiscal 2015 second quarter earnings report.
The home decor and furnishings retailer posted a decline in net income for the most recent quarter to $9.2 million, or 10 cents per share, compared to $17.8 million, or 17 cents per share for the fiscal 2014 second quarter.
Analysts' polled by Thomson Reuters expected the company to report earnings of 14 cents per share.STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.
Pier 1's total sales increased 5.8% to $418.6 million, from $395.6 million for the same period last year, but fell short of the $426.02 million analysts were expecting.
The company cut its full year 2015 earnings outlook to between 95 cents and $1.05, from its previous guidance of $1.14 to $1.22 for the fiscal year.
Additionally, analysts at Barclays (BCS) downgraded Pier 1 to "equal weight" from "overweight," as the company is seeing a slowdown in revenue growth and accelerating expenses.
Separately, TheStreet Ratings team rates PIER 1 IMPORTS INC/DE as a Hold with a ratings score of C+. TheStreet Ratings Team has this to say about their recommendation:
"We rate PIER 1 IMPORTS INC/DE (PIR) 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, notable return on equity and reasonable valuation levels. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, weak operating cash flow and a generally disappointing performance in the stock itself."