Staples Sees a Drop in Q3 Earnings and Sales; Beats Analysts View (SPLS)

Office supply retailer Staples, Inc. (SPLS) reported on Wednesday a drop in sales and profit for the third quarter, but the numbers beat Wall Street’s view.

The Framingham, Massachusetts-based company reported a third quarter net loss of $596.3 million, or 89 cents per share, compared with a net income of $326.4 million, or 47 cents per share, a year ago. However, adjusting for excluded items, the company earned 46 cents per share.

Revenue for the firm fell about -2% to $6.35 billion from $6.48 billion a year ago.

On average, Wall Street analysts polled by Thomas Reuters expected Staples to have an adjusted earnings per share of 45 cents on $6.45 billion in revenue.

Staples shares were up 54 cents, or +4.80%, in premarket trading on Wednesday.

The Bottom Line
Shares of Staples (SPLS) have a 3.91% dividend yield, based on last night’s closing stock price of $11.25. The stock has technical support in the $10 price area. If the shares can firm up, we see overhead resistance around the $13.00-$13.50 price levels.

Staples, Inc. (SPLS) is not recommended at this time, holding a DARS™ Rating of 3.0 out of 5 stars.

Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.

Related Stocks:
Stock Market XML and JSON Data API provided by FinancialContent Services, Inc.
Nasdaq quotes delayed at least 15 minutes, all others at least 20 minutes.
Markets are closed on certain holidays. Stock Market Holiday List
By accessing this page, you agree to the following
Privacy Policy and Terms and Conditions.
Press Release Service provided by PRConnect.
Stock quotes supplied by Six Financial
Postage Rates Bots go here