YETI Holdings (NYSE:YETI) shares are down nearly 9% today after the outdoor products provider’s fourth-quarter results fell short of expectations. While revenue increased by 16% year-over-year to $519.8 million, the figure still lagged estimates by $16.2 million. Additionally, EPS of 0.90 missed the consensus by $0.06.
Don't Miss our Black Friday Offers:
- Unlock your investing potential with TipRanks Premium - Now At 40% OFF!
- Make smarter investments with weekly expert stock picks from the Smart Investor Newsletter
YETI’s fourth quarter was marked by a 12% increase in Drinkware sales and a 44% jump in International sales. Additionally, the company’s cash pile soared by 87% to $439 million. At the same time, it witnessed cautious consumer spending in its higher-ticket Coolers and Equipment category.
The company has been focusing on boosting its commercial channels, investing in direct-to-consumer channels, and expanding in international markets. Additionally, offerings such as Rambler straw lid mugs, Rambler & Yonder bottles, and tabletop solutions are tracking well.
For Fiscal Year 2024, the company expects adjusted sales to increase by 7% to 9%. Adjusted EPS for the year is anticipated to land between $2.45 and $2.50. Notably, YETI has announced a share repurchase program of up to $300 million.
Recently, YETI acquired Mystery Ranch, a producer of bags and backpacks, and Butter Pat, which is focused on cast iron cookware. The company executed the two transactions for a total consideration of $48.5 million.
Is YETI a Good Stock to Buy Now?
Toady’s price decline further adds to the nearly 7% drop in YETI’s share price so far this year. Overall, the Street has a Hold consensus rating on YETI alongside an average price target of $47.71.
Read full Disclosure
