Zacks Investment Research downgraded
Central Garden & Pet Company
) to a Zacks Rank #5 (Strong Sell) on Jan 15, 2013.
Why the Downgrade?
Central Garden & Pet Company witnessed sharp downward
revision in estimates after posting dismal fourth-quarter fiscal
2012 results. The company's quarterly loss of 21 cents a share
remained flat with the prior-year quarter loss, but was a penny
wider than the Zacks Consensus Estimate.
Disappointing bottom-line performance compelled management to
take a cautious stance on its outlook. Central Garden & Pet
Company anticipates sales and earnings for the first quarter of
fiscal 2013 to be lower than the comparable prior-year period due
to the adverse impact of Hurricane Sandy that greatly affected
the Pet segment.
Central Garden has missed the Zacks Consensus Estimate in 8 of
the trailing 10 quarters. The average surprise over the last 10
quarters remained negative at 48.3%.
The Zacks Consensus Estimate of a loss of 28 cents for the
first quarter of fiscal 2013 widened by 6 cents in the last 60
days. However, for the second quarter, the Zacks Consensus
Estimate remained constant at 54 cents. Moreover, for fiscal 2013
and 2014, the Zacks Consensus Estimate fell by 8.1% and 8.8% to
79 cents and $1.03 per share, respectively, over the same time
Other Stocks to Consider
Not all providers of consumer discretionary products are
performing as disappointingly as Central Garden & Pet
SodaStream International Ltd.
) holding a Zacks Rank #1 (Strong Buy) is expected to continue
with its positive earnings surprise trend in the upcoming
Spectrum Brands Holdings, Inc.
), both holding a Zacks Rank #2 (Buy), look promising.
CENTRAL GARDEN (CENT): Free Stock Analysis
JARDEN CORP (JAH): Free Stock Analysis Report
SODASTREAM INTL (SODA): Free Stock Analysis
SPECTRUM BRANDS (SPB): Free Stock Analysis
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