Should you buy Children‘s Place (PLCE) stock ahead of the earnings?

1:24 am ET, 20 Nov 2018

Children's Place, Inc. (PLCE) shares are trading at $126.45, down -3%.   The company is announcing its quarterly earnings results on Wednesday before the market opens.  What's driving Children's Place stock price? What's PLCE stock price forecast?

The Children’s Place is a specialty retailer that sells accessories, footwear, and other items for children. The stock fell at the beginning of the month after the company announced the departure of two key executives. The company is now available at a forward P/E ratio of 15.77, which is relatively pricey compared to its industry peers.

Investors are showing interest in the company because of expected strong revenue growth. On the other hand, few bearish investors are worried about the sudden management departures.  Last quarter’s revenue rose 20% to $448.72 million and earnings per share came at $0.70 per share compared to $0.86 for the same period last year.

Third-quarter results will be released before market open on November 21, 2018. Analysts expect the company to earn $3.06 per share, slightly higher than the management midpoint EPS on revenue of $511.09 million. The company beat analysts’ estimates twice in the previous four quarters.

What is the sentiment towards the PLCE stock? Our technical analysis shows that:

  • The stock short-term sentiment (next 30 days) is trending positive;
  • The mid-term sentiment (3-6 months) is trending positive;
  • The long-term sentiment (9-12 months) is trending positive.

Over the last month, Children's Place, Inc. (PLCE) returned +13.22%.

Children's Place, Inc. (PLCE) forward P/E ratio is 15.77, and it’s high compared to its industry peers’ P/E ratios.

Children's Place, Inc. (PLCE) short share of float is 30.9%. The stock is much more frequently shorted than the average industry, sector or S&P 500 stock.

Children's Place, Inc. (PLCE) average analyst price target ($155.88) is 6.11% above its current price ($146.90).

For the latest price and information on Children's Place, Inc. (The), please visit Finstead and search for "PLCE price" or "PLCE news".

Children's Place, Inc. (The) (PLCE) Stock Guide

Updated at: 10:45 am ET, 18 Sep 2020

Before we start: if you're looking for PLCE stock price, you can quickly find it out by visiting Finny and typing "PLCE quote". If you're looking for a quick scoop on PLCE stock (chart, price target, market cap, news and buy or sell analysis), go to Finny and look for "PLCE". You'll get all this info in one place. Or you can just type "PLCE news" to get the latest stock news.

Looking to buy or sell Children's Place, Inc. (The) (PLCE)? Interested in getting the full scoop on PLCE, including earnings and dividends, stock forecast, buy or sell analysis and key stats? If so, you came to the right place.

In this PLCE stock guide, we'll address key questions about PLCE, above and beyond what you can find on Yahoo Finance, Zacks, MarketWatch or Morningstar.

Here is what you'll be able to find in this guide:

Earnings and Dividends: earnings, earnings date, dividend rate and dividend yield;
Analyst Predictions: stock forecast and analyst ratings;
Analysis: Finny Score and buy or sell analysis;
Key Stats: revenue, market cap, revenue growth, profit margin, P/E ratio, P/B ratio, industry, sector, and number of employees.

And here is the list of questions we'll answer:
1. What are PLCE earnings?
2. What is PLCE stock forecast (i.e., prediction)?
3. PLCE buy or sell? What is PLCE Finny Score?
4. What are the reasons to buy PLCE? Why should I buy PLCE stock?
5. What are the reasons to sell PLCE? Why should I sell PLCE stock?
6. What are PLCE key stats: revenue, market cap, revenue growth, profit margin, P/E ratio, P/B ratio industry, sector, and number of employees?

So let's start. Scroll down to the question that interests you the most.

Earnings and Dividends

1. What are PLCE earnings?

PLCE trailing 12-month earnings per share (EPS) is -$6.31.

Analyst Predictions

2. What is PLCE stock forecast (i.e., prediction)?

Based on PLCE analyst price targets, PLCE stock forecast is $24.20 (for a year from now). That means the average analyst price target for PLCE stock is $24.20. The prediction is based on 10 analyst estimates.

The low price target for PLCE is $14.00, while the high price target is $40.00.

PLCE analyst rating is Buy.

Analysis

3. PLCE buy or sell? What is PLCE Finny Score?

#{finnyScore:22}Our quantitative analysis shows 2 reasons to buy and 7 reasons to sell PLCE, resulting in Finny Score of 22.

4. What are the reasons to buy PLCE? Why should I buy PLCE stock?

Here are the reasons to buy PLCE stock:

5. What are the reasons to sell PLCE? Why should I sell PLCE stock?

Let's look at the reasons to sell PLCE stock (i.e., the bear case):

  • PLCE quarterly revenue growth was -12.30%, lower than the industry and sector average revenue growth (0.23% and 0.78%, respectively). See PLCE revenue growth chart.
  • PLCE profitability is declining. The YoY profit margin change was -1.20 percentage points. See PLCE profitability chart.
  • PLCE Price/Book ratio is 4.72, which is high compared to its industry peers’ P/B ratios. See PLCE forward Price/Book ratio chart.
  • PLCE average analyst price target ($24.20) is below its current price ($30.13). See PLCE price target chart.
  • PLCE short share of float is 74.09%. The stock is much more frequently shorted than the average industry, sector or S&P 500 stock. See PLCE short share of float chart.
  • PLCE short interest (days to cover the shorts) ratio is 6.42. The stock garners more short interest than the average industry, sector or S&P 500 stock. See PLCE short interest ratio chart.
  • PLCE cash to debt ratio is 0.05, lower than the average industry (0.16) and sector (0.13) cash to debt ratio. See PLCE cash to debt chart.

Key Stats

6. What are PLCE key stats : revenue, market cap, revenue growth, profit margin, P/E ratio, P/B ratio industry, sector, and number of employees?

Let's look at the key statistics for PLCE:

Metrics PLCE
Price $27.40
Average Price Target / Upside $24.20 / -11.68%
Average Analyst Rating Buy
Forward Dividend Yield 0.00%
Industry Apparel Stores
Sector Consumer Cyclical
Number of Employees 15,800
Market Cap $289.67M
Forward P/E Ratio 8.91
Price/Book Ratio 0.17
Revenue (TTM) $1.66B
YoY Quarterly Revenue Growth -12.30%
Profit Margin -5.67%

If you liked this analysis, check out Stock Guides for other stocks.

Follow Us