2023-10-31 11:58:47 ET
Investors dumped shares of CarParts ( NASDAQ: PRTS ) on Tuesday after the company posted a wider net loss and missed its third quarter sales estimates.
The stock was down nearly 19%, wiping off over $30 million from its market valuation of $191.01 million, as of last close.
The California-based company’s net sales rose just 1% during the quarter, while its operating expenses increased due to investments and higher advertising expense.
RBC analyst Steven Shemesh reduced price target to $4 from $7, citing deteriorating consumer backdrop. Brokerage DA Davidson and Roth MKM also lowered price target following CarParts results.
According to a Seeking Alpha analysis , CarParts has a lower profitability compared to industry leaders, but its valuation is attractive and it has a strong cash position.
Seeking Alpha analysts and Wall Street rate the stock a “buy” and above, while Seeking Alpha’s Quant Rating considers the stock a “hold”. The stock has lost nearly 58% so far this year.
More on CarParts
- CarParts.com: The Hatches Are Battened Down
- Seeking Alpha’s Quant Rating on CarParts
- Historical earnings data for CarParts
- Financial information for CarParts
For further details see:
CarParts drops after Q3 sales miss estimates