Why Petco Stock Dropped 24% This Week
Shares of Petco Health and Wellness (NASDAQ: WOOF) were down 24.1% this week as of 11:30 a.m. ET Friday, according to data provided by S&P Global Market Intelligence, after the pet supplies retailer lowered its 2023 outlook despite posting fiscal second-quarter results that were roughly in line with expectations.
Indeed, the entirety of Petco's drop this week came on Thursday morning after its quarterly update hit the wires.
Petco's headline numbers were decent. In the period, which ended on July 29, revenue climbed by 3.4% year over year to $1.53 billion, helped by a 3.2% increase in comparable-store sales. On the bottom line, that translated to adjusted (non-GAAP) net income of $16.3 million, or $0.06 per share, down from $0.16 per share in the year-ago period. But analysts, on average, had been expecting the same adjusted net income on slightly lower revenue of $1.52 billion.
Source Fool.com
