SNBR - Why Sleep Number Shares Are Soaring 30% Thursday
Shares of Sleep Number Corporation (NASDAQ: SNBR), a sleep services and solutions company offering bedding, furniture, pillows, and other products, were soaring more than 30% Thursday morning after the company released strong first-quarter 2020 results.
Sleep Number shares jumped in the extended session Wednesday when the company released first-quarter sales and earnings that topped analysts' estimates and then went higher Thursday when markets opened. Sales increased 11% to $473 million during the first quarter, topping analysts' estimates of $433 million. Earnings per share soared 70% to a record $1.36, far above the prior year's $0.80 per share and well ahead of analysts' estimates calling for $0.72 per share. It was a strong first quarter in just about every metric, including a 7% gain in comparable store sales and a 240-basis-point improvement in gross profit to 63.9% of net sales.
Image source: Getty Images.