Coldwater Creek Inc. (CWTR) Earnings: An Early Look

Earnings season is winding down, with most companies already having reported their quarterly results. But there are still some companies left to report, and Coldwater Creek Inc. (NASDAQ:CWTR) is about to release its quarterly earnings. The key to making smart investment decisions with stocks releasing their quarterly reports is to anticipate how they’ll do before they announce results, leaving you fully prepared to respond quickly to whatever inevitable surprises arise. That way, you’ll be less likely to make an uninformed knee-jerk reaction to news that turns out to be exactly the wrong move.

Coldwater Creek Inc. (NASDAQ:CWTR) has not only had to deal with a challenging overall environment in the women’s retail space but also has faced its own unique difficulties. Let’s take an early look at what’s been happening with Coldwater Creek Inc. (NASDAQ:CWTR) over the past quarter and what we’re likely to see in its quarterly report on Wednesday.

Stats on Coldwater Creek Inc. (NASDAQ:CWTR)

Analyst EPS Estimate ($0.79)
Year-Ago EPS ($0.76)
Revenue Estimate $218.8 million
Change From Year-Ago Revenue 2.9%
Earnings Beats in Past 4 Quarters 3

Source: Yahoo! Finance.

Will Coldwater Creek Inc. (NASDAQ:CWTR) look prettier this quarter?
Coldwater Creek Inc. (NASDAQ:CWTR) hasn’t been able to convince analysts that it’s likely to turn things around, as they’ve increased their loss estimates for the just-ended holiday quarter by more than $0.25 per share over the past few months, and have also added another dime to their fiscal-2014 loss projections. The stock has reflected that pessimism, plunging 40% since early December.

Ann Inc (NYSE:ANN)We’ve already gotten advance warning of just how bad Coldwater expects its holiday quarter to be. In a preliminary of results back in January, the retailer said same-store sales would come in flat from the year-ago quarter and gave a range for earnings per share that was $0.20 worse than previously expected. The company cited the need for substantial discounting as hurting margins, which has become all too common at Coldwater Creek Inc. (NASDAQ:CWTR). Another bad sign for Coldwater is that its online sales have been dropping, bucking the trend of nearly every other retailer out there.

Other women’s retailers throughout the industry have seen the same sort of headwinds, but not to the same extent. Ann Taylor parent ANN Inc. (NYSE:ANN) soared 8% on Friday after releasing better-than-expected results for its holiday quarter and a positive outlook, even though same-store sales for the quarter dropped 0.7%. Late last month, Chico’s FAS, Inc. (NYSE:CHS) missed analyst projections for revenue but nevertheless saw profits climb as the company’s restructuring efforts bore fruit.

In Coldwater’s quarterly report, the key will be for new CEO Jill Brown Dean to step up and take control of the company’s future strategic vision. As tough as leadership transitions can be in retail, Dean needs to find a better way forward for Coldwater Creek if the company expects to get out of its long malaise.

The article Coldwater Creek Earnings: An Early Look originally appeared on Fool.com.

Fool contributor Dan Caplinger has no position in any stocks mentioned. You can follow him on Twitter: @DanCaplinger. The Motley Fool has no position in any of the stocks mentioned.

Copyright © 1995 – 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Comments
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months. Our beta is only 1.2 (don't click this link if beating the market isn't important to you).

Lists

The Highest Grossing Musicals on Broadway

The Most Successful Reality TV Stars

Cheapest Cities to Visit in the US

Most Expensive Summer Camps

Most Expensive Animals in the World

Most Expensive Specialty Crops in the World

Movies That Took Ages to Make

The Longest Hollywood Films Ever Made

Most Expensive Concert Stages

The Richest Bands of all Time

10 Most Corrupt Countries 2013 List

10 Countries with the Highest Quality of Life Index

Most Expensive Mattresses in the World

5 Smallest Countries by Land Area

The Ultimate Heartbreak Songs

Richest Teenagers in the World

10 Most Haunted Places in America

10 Best Places to Retire in Florida East Coast

Top 10 Places to See Before You Die

Top 8 Countries in the World Where Justice Prevails

10 Richest States in America

15 Wealthiest Countries in the World

Richest Singers in the World

Most Expensive Tasting Menu in New York City

Most Expensive Baby Items in the World

Most Expensive Hotel Suites in Vegas

Most Expensive Brunch in New York City

Most Expensive Beef Cuts in the World

25 Best Colleges to Get a Job

Top 10 US Supermarkets

The 25 Most Dangerous Cities in the World to Visit

Most Expensive Xbox Games

Top 11 Cities Where Billionaires Live

Top 10 Most Charitable Companies in America

Most Expensive Seafood in the World

The 10 Wildest Conspiracy Theories

The 10 Best Job Markets in the US

Top 10 Accounting Scandals of All Time

The 25 Biggest Cities in the World

Top 10 Best Paying Virtual Jobs

Most Expensive Leather Shoes in the World

Top 6 Things to Buy in March

The 10 Most Stressful Jobs in America – 2014 List

Top 10 Jobs for Introverted People

Top 10 Honeymoon Destinations in the World

Top 10 Highest Paying Jobs in the World

Most Expensive Day-Care in New York City

The 10 Cheapest Places to Retire Abroad

Top 10 Most Expensive Luxury Cars in the World – 2014

Killer Small Business Ideas

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!