Aaron's Company, Inc. (AAN) Reports Q1 Loss, Misses Revenue Estimates

Company Performance - Aaron's Company, Inc. (AAN) reported a quarterly loss of $0.15 per share, which was worse than the Zacks Consensus Estimate of a loss of $0.08, and a significant decline from earnings of $0.66 per share a year ago, indicating an earnings surprise of -87.50% [1] - The company posted revenues of $511.5 million for the quarter ended March 2024, missing the Zacks Consensus Estimate by 1.13%, and down from $554.36 million in the same quarter last year [1] - Over the last four quarters, Aaron's has only surpassed consensus EPS estimates once and has not beaten consensus revenue estimates during this period [1] Stock Performance - Aaron's shares have declined approximately 36.1% since the beginning of the year, contrasting with the S&P 500's gain of 7.5% [2] - The current Zacks Rank for Aaron's is 4 (Sell), indicating expectations of underperformance in the near future [4] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.06 on revenues of $511.72 million, and for the current fiscal year, it is $0.08 on revenues of $2.12 billion [4] - The trend for estimate revisions ahead of the earnings release has been unfavorable, which may impact future stock performance [4] Industry Context - The Consumer Services - Miscellaneous industry, to which Aaron's belongs, is currently ranked in the bottom 26% of over 250 Zacks industries, suggesting a challenging environment for the stock [5] - Another company in the same industry, Wag! Group Co. (PET), is expected to report a quarterly loss of $0.08 per share, reflecting a year-over-year change of +20%, with revenues projected at $24.5 million, up 18.8% from the previous year [5]