ZU: Zulily Stock Crashes After Surprise Loss

by Christopher Freeburn | May 7, 2014 11:43 am

ZU: Zulily Stock Crashes After Surprise Loss

Shares of zulily (ZU[1]) plunged almost 30% in Wednesday trading after the internet retailer reported a quarterly loss[2].

zulily ZU: Zulily Stock Crashes After Surprise Loss[3]ZU posted a loss of $3 million during the first quarter, almost twice the $1.6 million loss it reported in the year-ago quarter. EPS showed a loss of 2 cents. That disappointed Wall Street which was looking for a profit of 1 cent per share, MarketWatch notes.

During the quarter, sales soared to $237.9 million, up 87% from the prior-year period. That exceeded earlier ZU guidance that anticipated sales of between $225 million and $235 million.

In the current quarter, zulily predicts sales between $261 million and $276 million, well above the $248.5 million that analysts have estimated.

ZU raised its sales outlook for the full year. It now estimates 2014 sales of between $1.15 billion and $1.2 billion, up from a previous range of between $1.1 billion and $1.15 billion.

Zulily shares began public trading in November. On Tuesday, ZU stock closed at $48.59 per share.

More on Zulily Stock:

Endnotes:
  1. ZU: http://studio-5.financialcontent.com/investplace/quote?Symbol=ZU
  2. reported a quarterly loss: http://www.marketwatch.com/story/zulily-posts-surprise-loss-shares-fall-2014-05-07?link=MW_latest_news
  3. [Image]: http://investorplace.com/wp-content/uploads/2013/10/zulily.jpg
  4. ZU Stock: Top Online Retail Plays for the Polar Vortex: http://investorplace.com/2014/03/zu-stock-wsm-stock-online-retail/

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