Petco Health & Wellness (WOOF) Q3 Earnings Beat Estimates

Core Insights - Petco Health & Wellness reported quarterly earnings of $0.05 per share, exceeding the Zacks Consensus Estimate of $0.01 per share, and showing an improvement from a loss of $0.02 per share a year ago, resulting in an earnings surprise of +400.00% [1] - The company generated revenues of $1.46 billion for the quarter ended October 2025, which was 0.44% below the Zacks Consensus Estimate and a decrease from $1.51 billion in the same quarter last year [2] - Petco's stock has underperformed, losing approximately 26.8% year-to-date compared to a 14% gain in the S&P 500 [3] Earnings Outlook - The future performance of Petco's stock will largely depend on management's commentary during the earnings call and the revisions of earnings estimates [3][4] - The current consensus EPS estimate for the upcoming quarter is breakeven on revenues of $1.53 billion, while for the current fiscal year, it is $0.12 on revenues of $5.98 billion [7] Industry Context - The Retail - Miscellaneous industry, to which Petco belongs, is currently ranked in the bottom 36% of over 250 Zacks industries, indicating potential challenges ahead [8] - Empirical research suggests a strong correlation between stock movements and earnings estimate revisions, which could impact Petco's stock performance [5]