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PetSmart Boosts Forecast as Q2 Profit Rises 26% (PETM)

Pet products retailer PetSmart, Inc. ( PETM ) late Wednesday posted better-than-expected second quarter earnings and raised its full-year forecast, which is still below analysts' view.

The Phoenix-based company reported second quarter net income of $61.2 million, or 54 cents per share, compared with $48.4 million, or 41 cents per share, in the year-ago period.

Revenue rose 7% from last year to $1.49 billion.

On average, Wall Street analysts expected a smaller profit of 51 cents per share on matching revenue of $1.49 billion.

Looking ahead, the company raised its full-year earnings outlook to a range of $2.40 to $2.48 per share, up from a prior forecast of $2.32 to $2.42. Analysts expect a still-higher $2.43 per share for the year.

PetSmart shares fell $1.01, or -2.4%, in premarket trading Thursday.

The Bottom Line

Shares of PetSmart ( PETM ) have a 1.35% dividend yield, based on last night's closing stock price of $41.56. The stock has technical support in the $38-$40 price area. The stock is trading near the all-time high range of $44-$46 a share.

PetSmart, Inc. ( PETM ) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 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 .

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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