ODP (NASDAQ:ODP) Posts Quarterly Earnings Results, Misses Estimates By $0.59 EPS

ODP (NASDAQ:ODP) released its quarterly earnings results on Wednesday. The specialty retailer reported $1.05 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.64 by ($0.59), Briefing.com reports. ODP had a net margin of 1.77% and a return on equity of 19.45%. The firm had revenue of $1.87 billion for the quarter, compared to analyst estimates of $1.96 billion. During the same quarter in the prior year, the firm earned $1.78 EPS. The firm’s revenue was down 11.2% compared to the same quarter last year. ODP updated its FY24 guidance to $6.30-6.60 EPS.

ODP Stock Down 0.7 %

ODP opened at $51.90 on Wednesday. ODP has a fifty-two week low of $39.36 and a fifty-two week high of $58.98. The company has a market capitalization of $1.90 billion, a P/E ratio of 15.36, a P/E/G ratio of 0.65 and a beta of 1.68. The company has a debt-to-equity ratio of 0.15, a current ratio of 0.99 and a quick ratio of 0.54. The firm’s fifty day moving average price is $51.59 and its two-hundred day moving average price is $50.75.

ODP declared that its Board of Directors has approved a stock repurchase program on Wednesday, February 28th that permits the company to repurchase $1.00 billion in shares. This repurchase authorization permits the specialty retailer to purchase up to 48.7% of its shares through open market purchases. Shares repurchase programs are typically an indication that the company’s board of directors believes its shares are undervalued.

Insiders Place Their Bets

In other news, CFO Diego Anthony Scaglione sold 25,000 shares of ODP stock in a transaction that occurred on Friday, March 1st. The shares were sold at an average price of $55.00, for a total value of $1,375,000.00. Following the completion of the transaction, the chief financial officer now owns 96,104 shares in the company, valued at $5,285,720. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Corporate insiders own 3.60% of the company’s stock.

Wall Street Analyst Weigh In

ODP has been the topic of a number of research analyst reports. StockNews.com raised shares of ODP from a “hold” rating to a “buy” rating in a research report on Tuesday, March 12th. TheStreet lowered ODP from a “b-” rating to a “c+” rating in a report on Wednesday, February 28th. One investment analyst has rated the stock with a hold rating and three have issued a buy rating to the company. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $62.00.

About ODP

The ODP Corporation provides business services and supplies, products, and digital workplace technology solutions for small, medium, and enterprise businesses in the United States, Puerto Rico, and the U.S. Virgin Islands. The company operates through four divisions: ODP Business Solutions, Office Depot, Veyer, and Varis.