America's Car-Mart (CRMT) Beats Q3 Earnings and Revenue Estimates

Core Viewpoint - America's Car-Mart reported quarterly earnings of $0.37 per share, significantly exceeding the Zacks Consensus Estimate of a loss of$0.01 per share, marking a 3,800% earnings surprise compared to a loss of $1.34 per share a year ago [1] Group 1: Earnings Performance - The company posted revenues of$325.73 million for the quarter ended January 2025, surpassing the Zacks Consensus Estimate by 7.96% and showing an increase from $299.61 million year-over-year [2] - Over the last four quarters, America's Car-Mart has exceeded consensus EPS estimates only once [2] - The current consensus EPS estimate for the upcoming quarter is$1.16 on revenues of $367.28 million, and for the current fiscal year, it is$0.86 on revenues of $1.36 billion [7] Group 2: Stock Performance and Outlook - America's Car-Mart shares have declined approximately 25.2% since the beginning of the year, while the S&P 500 has only decreased by 0.7% [3] - The company's earnings outlook is favorable, with a Zacks Rank of 2 (Buy), indicating expected outperformance in the near future [6] - The automotive retail and wholesale industry is currently in the top 25% of Zacks industries, suggesting a positive impact on stock performance [8] Group 3: Estimate Revisions - The trend for estimate revisions for America's Car-Mart has been favorable ahead of the earnings release, which could influence future stock movements [5][6] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, highlighting the importance of tracking these revisions [5]