Dollar Tree and Tiffany's may both be retailers but they could barely be more alike, save in their ability to top estimates with their earnings.
Discount retailer Dollar Tree Inc (NASDAQ:DLTR) was trading 10.2% higher in pre-market trading after earnings and like-for-like (LFL) sales in the second quarter came in higher than Wall Street had been expecting.
LFL sales rose 1% from a year earlier, which was ahead of the 0.6% gain expected by analysts.
Underlying earnings per share (EPS) of 99 cents was 12 cents above the consensus forecast on the Street.
Upmarket jeweler Tiffany & Co (NYSE:TIF) edged 1.4% to US$90 ahead of the official opening of the market, after EPS rose to 92 cents in the second quarter from 84 cents a year earlier.
The share price reaction might have been more positive had LFL sales not fallen 2%.
It seems red – as in ink – is the new black …
The net loss widened to US$15.5 from US$131mln the year before, and LFL sales were down 1% year-on-year, but that did not stop the shares rising 14% to US$10.96, reducing the share price depreciation in the year-to-date to 20%.