Yahoo Finance Lifeway Foods (LWAY) Readies for Q1 Earnings: What to Expect?
Lifeway Foods, Inc. LWAY is likely to see top and bottom-line growth when it reports first-quarter 2024 earnings on May 14 before the opening bell. The Zacks Consensus Estimate for revenues is pegged at $43 million, which suggests growth of 13.5% from the prior-year quarter’s reported figure.
The consensus mark for quarterly earnings has remained unchanged in the past 30 days at 24 cents per share. This indicates an increase of 300% from the year-ago quarter’s reported figure of 6 cents. LWAY has a trailing four-quarter earnings surprise of 73.1%, on average.
Factors to Note
Lifeway Foods has been benefiting from its strategic growth efforts, which revolve around product innovation, customer engagement, operational efficiency and market expansion, positioning the company for continued success and growth in the health-conscious food market.
The company’s consistent volume growth is noteworthy, reflecting the loyalty of its active customer base and the success of strategic sales and marketing investments. LWAY has been focused on strengthening its core products through targeted advertising and marketing initiatives, ensuring a strong connection with consumers seeking high-quality and healthy products. Additionally, Lifeway Foods has strengthened its distribution network, including partnerships with foodservice providers and increased placement in retail outlets, to reach a wider audience and aid product trial and retention.
Lifeway Foods, Inc. Price, Consensus and EPS Surprise
Lifeway Foods, Inc. price-consensus-eps-surprise-chart | Lifeway Foods, Inc. Quote
The company’s product innovations, such as guava low-fat kefir, organic whole milk products, and organic grass-fed kefir flavors, underscore its commitment to meet evolving consumer demands. Also, these innovations help Lifeway Foods capture new market segments. Upsides like these bode well for the quarter under review.
However, the company remains troubled by a challenging macroeconomic environment, including high interest rates and inflation, which continue to affect consumers’ spending patterns. On its last earnings call, management also stated that its year-over-year comparisons are likely to get more difficult. While these factors raise concerns for the quarter under review, Lifeway Foods’ productivity measures and the abovementioned growth initiatives are likely to have helped it stay resilient.
What the Zacks Model Unveils
Our proven model doesn’t conclusively predict an earnings beat for Lifeway Foods this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here.
Lifeway Foods currently sports a Zacks Rank #1 but has an Earnings ESP of 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Stocks With the Favorable Combination
Here are three companies worth considering, as our model shows that these have the correct combination to beat on earnings this time:
Ollie's Bargain Outlet Holdings, Inc. OLLI currently has an Earnings ESP of +3.08% and a Zacks Rank of 3. The company is likely to register top and bottom-line increases when it reports first-quarter fiscal 2024 numbers. The Zacks Consensus Estimate for Ollie's Bargain’s quarterly revenues is pegged at $503.8 million, which indicates growth of 9.7% from the figure reported in the prior-year quarter. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for Ollie's Bargain’s quarterly earnings of 65 cents suggests a rise of 32.7% from the year-ago quarter’s levels. OLLI has a trailing four-quarter earnings surprise of 7.3%, on average.
Dollar Tree DLTR currently has an Earnings ESP of +2.48% and a Zacks Rank of 3. The company is likely to register a top-line increase when it reports first-quarter fiscal 2024 numbers. The Zacks Consensus Estimate for Dollar Tree’s quarterly revenues is pegged at $7.6 billion, which implies growth of 4.3% from the figure reported in the prior-year quarter.
The Zacks Consensus Estimate for Dollar Tree’s quarterly earnings of $1.44 suggests a drop of around 2% from the year-ago quarter’s levels. DLTR has a trailing four-quarter negative earnings surprise of 1.9%, on average.
Dollar General DG currently has an Earnings ESP of +1.88% and a Zacks Rank #3. The company is expected to register top-line growth when it reports first-quarter fiscal 2024 numbers. The Zacks Consensus Estimate for DG’s quarterly revenues is pegged at $9.86 billion, which implies a rise of 5.6% from the prior-year quarter’s reported figure.
The Zacks Consensus Estimate for DG’s quarterly earnings has been unchanged at $1.57 in the past 30 days, which calls for a 32.9% decline from the year-ago quarter’s reported number. Dollar General has a trailing four-quarter negative earnings surprise of 1.3%, on average.
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Dollar General Corporation (DG) : Free Stock Analysis Report
Dollar Tree, Inc. (DLTR) : Free Stock Analysis Report
Lifeway Foods, Inc. (LWAY) : Free Stock Analysis Report
Ollie's Bargain Outlet Holdings, Inc. (OLLI) : Free Stock Analysis Report
