Lovesac (LOVE) Reports Q2 Loss, Tops Revenue Estimates

Company Performance - Lovesac reported a quarterly loss of $0.38 per share, better than the Zacks Consensus Estimate of a loss of $0.46, compared to a loss of $0.04 per share a year ago, indicating an earnings surprise of 17.39% [1] - The company posted revenues of $156.59 million for the quarter ended July 2024, surpassing the Zacks Consensus Estimate by 1.68% and showing an increase from $154.53 million year-over-year [2] - Over the last four quarters, Lovesac has exceeded consensus EPS estimates three times and topped consensus revenue estimates three times as well [2] Stock Outlook - The stock has underperformed, losing about 17.7% since the beginning of the year, while the S&P 500 has gained 16.4% [3] - The current consensus EPS estimate for the coming quarter is $0.05 on revenues of $159.62 million, and for the current fiscal year, it is $1.09 on revenues of $708.88 million [7] - The estimate revisions trend for Lovesac is mixed, resulting in a Zacks Rank 3 (Hold), indicating expected performance in line with the market in the near future [6] Industry Context - The Retail - Home Furnishings industry, to which Lovesac belongs, is currently in the bottom 13% of over 250 Zacks industries, suggesting potential challenges ahead [8]