Analysts were expecting Drugstore.com Inc. (DSCM) [Chart - News - Analysis] to report earnings of $-0.04 for last quarter, but DSCM beat expectations with actual earnings of $-0.02---2 cents above the consensus estimate. DSCM also issued earnings guidance for next quarter that is above current analyst expectations.
If you compare last quarter's earnings to the $-0.04 the company made per share during the same quarter a year ago, you can see that DSCM’s earnings are up this year.
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Also, if you compare DSCM's 25.00% projected earnings-per-share (EPS) growth rate for the next five years with the projected EPS growth rate of 18.54% for the Catalog & Mail Order Houses industry as a whole during that same time frame, you can see that analysts expect DSCM to outperform the industry in the future---which is a good sign for the stock.
Drilling down a little deeper into the Catalog & Mail Order Houses industry, you can see how analysts believe DSCM will stack up against some of the other stocks in the industry, like Amazon.com Inc. (AMZN) [Chart - News - Analysis] and eBay Inc. (EBAY) [Chart - News - Analysis], in the future. Analysts believe AMZN's earnings are going to grow at a rate of 21.19% while EBAY's earnings are going to grow at a rate of 14.71%.
Earnings season can be a volatile time in the stock market. Check out these videos and articles to be better prepared to take advantage of the large price moves that tend to accompany earnings announcements.
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drugstore.com, inc. (Public, NASDAQ:DSCM) shares fell to $1.75 before bouncing back to $2.19 before noon. DSCM should finish the day down 10% after missing Wall Street's expecations and revising its fiscal 2008 guidance. So for investors, now what?
drugstore.com, inc. (Public, NASDAQ:DSCM) shares fell to $1.75 before bouncing back to $2.19 before noon. DSCM should finish the day down 10% after missing Wall Street's expecations and revising its fiscal 2008 guidance. So for investors, now what?