Can hhgregg Beat These Numbers?

hhgregg (NYSE: HGG  ) is expected to report Q3 earnings on Jan. 31. Here's what Wall Street wants to see:

The 10-second takeaway
Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict hhgregg's revenues will compress -3.3% and EPS will wane -13.3%.

The average estimate for revenue is $802.0 million. On the bottom line, the average EPS estimate is $0.52.

Revenue details
Last quarter, hhgregg logged revenue of $587.6 million. GAAP reported sales were 5.0% lower than the prior-year quarter's $618.6 million.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
Last quarter, EPS came in at $0.11. GAAP EPS of $0.11 for Q2 were 31% lower than the prior-year quarter's $0.16 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Recent performance
For the preceding quarter, gross margin was 29.6%, 100 basis points better than the prior-year quarter. Operating margin was 1.1%, 60 basis points worse than the prior-year quarter. Net margin was 0.6%, 40 basis points worse than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $2.50 billion. The average EPS estimate is $0.75.

Investor sentiment

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on hhgregg is hold, with an average price target of $8.52.

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