Financial News
Earnings To Watch: Target Hospitality (TH) Reports Q3 Results Tomorrow
Workforce housing company Target Hospitality (NASDAQ:TH) will be reporting earnings tomorrow before the bell. Here’s what to expect.
Target Hospitality beat analysts’ revenue expectations by 2.2% last quarter, reporting revenues of $100.7 million, down 29.9% year on year. It was a mixed quarter for the company, with a decent beat of analysts’ earnings estimates but full-year revenue guidance missing analysts’ expectations.
Is Target Hospitality a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Target Hospitality’s revenue to decline 39.8% year on year to $87.9 million, a further deceleration from the 8.5% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.12 per share.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Target Hospitality has a history of exceeding Wall Street’s expectations, beating revenue estimates every single time over the past two years by 4.9% on average.
Looking at Target Hospitality’s peers in the travel and vacation providers segment, some have already reported their Q3 results, giving us a hint as to what we can expect. Playa Hotels & Resorts’s revenues decreased 13.9% year on year, beating analysts’ expectations by 4.1%, and American Airlines reported revenues up 1.2%, in line with consensus estimates. Playa Hotels & Resorts traded up 7.4% following the results while American Airlines was also up 2.5%.
Read our full analysis of Playa Hotels & Resorts’s results here and American Airlines’s results here.
There has been positive sentiment among investors in the travel and vacation providers segment, with share prices up 6.4% on average over the last month. Target Hospitality is up 12.9% during the same time and is heading into earnings with an average analyst price target of $9.25 (compared to the current share price of $8.65).
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