For the quarter ended June 2024, Frontdoor (FTDR) reported revenue of $542 million, up 3.6% over the same period last year. EPS came in at $1.27, compared to $0.87 in the year-ago quarter. The reported revenue represents a surprise of +0.87% over the Zacks Consensus Estimate of $537.31 million. With the consensus EPS estimate being $1.00, the EPS surprise was +27.00%. While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their ...

Frontdoor (FTDR) came out with quarterly earnings of $1.27 per share, beating the Zacks Consensus Estimate of $1 per share. This compares to earnings of $0.87 per share a year ago. These figures are adjusted for nonrecurring items. This quarterly report represents an earnings surprise of 27%. A quarter ago, it was expected that this home services provider would post earnings of $0.20 per share when it actually produced earnings of $0.43, delivering a surprise of 115%. Over the last four quarters, the compan ...

Revenue and Profitability - Revenue for Q2 2024 increased 4% to $542 million, driven by a 7% price increase offset by a 3% decline in volume [2]. - Gross profit margin reached a record high of 56%, an increase of 470 basis points, primarily due to higher realized prices and process improvements [2]. - Net income rose 32% to $92 million, with diluted earnings per share increasing 38% to $1.18 [2]. - Adjusted EBITDA for Q2 2024 increased 31% to $158 million, benefiting from higher revenue conversion and lower contract claims costs [5]. - Revenue for the three months ended June 30, 2024, was $542 million, an increase of 3.6% from $523 million for the same period in 2023 [26]. - Gross profit for the six months ended June 30, 2024, was $500 million, compared to $440 million for the same period in 2023, reflecting a 13.6% increase [26]. - Net income for the three months ended June 30, 2024, was $92 million, up 31.4% from $70 million in the same period of 2023 [26]. - Adjusted EBITDA for the three months ended June 2024 was $158 million, compared to $121 million in the same period of 2023, marking a 30.6% rise [36]. - Adjusted net income for the six months ended June 2024 was $134 million, compared to $94 million for the same period in 2023, reflecting a 42.6% growth [34]. Cash Flow and Financial Position - Net cash provided from operating activities doubled to $187 million for the six months ended June 30, 2024 [7]. - Free cash flow increased 70% to $164 million for the six months ended June 30, 2024 [8]. - Cash and cash equivalents at the end of the period were $419 million, up from $325 million at the beginning of the period [29]. - Total assets increased to $1,200 million as of June 30, 2024, from $1,089 million as of December 31, 2023 [29]. - Current liabilities rose to $365 million as of June 30, 2024, compared to $331 million at the end of 2023 [29]. - Free cash flow for the six months ended June 2024 was $164 million, significantly higher than $96 million for the same period in 2023, indicating a 70.8% increase [35]. Future Outlook - The company anticipates closing the acquisition of 2-10 Home Buyers Warranty in Q4 2024 [1]. - Full-year 2024 revenue outlook maintained at $1.81 billion to $1.84 billion, with an expected gross profit margin slightly above 51% [11]. - Q3 2024 revenue expected to be between $530 million and $545 million, reflecting a 3% increase year-over-year [10]. - The company has not provided specific forward-looking guidance for Adjusted EBITDA due to the inherent difficulty in forecasting necessary adjustments [24]. Shareholder Returns - New 3-year, $650 million share repurchase authorization approved, representing a 63% increase over the previous authorization [9]. Customer Metrics - The number of home warranties decreased to 1.95 million as of June 30, 2024, down from 2.07 million in the previous year, reflecting a reduction of 5.8% [37]. - Customer retention rate improved to 76.6% on a rolling 12-month basis, up from 76.3% in the previous year, indicating a positive trend in customer loyalty [37]. Earnings Per Share - The company reported a basic earnings per share of $1.18 for the three months ended June 30, 2024, compared to $0.86 for the same period in 2023 [27]. - The company reported a diluted adjusted earnings per share of $1.27 for the three months ended June 2024, compared to $0.87 in the same period of 2023, representing a 46% increase [34]. - The weighted-average diluted shares outstanding decreased to 78.1 million for the three months ended June 2024, down from 81.8 million in the same period of 2023 [34]. Acquisition Costs - The company incurred acquisition-related costs of $6 million for the three months ended June 2024, compared to no costs in the same period of 2023 [36]. - The company reported a tax impact of adjustments of $(1) million for the six months ended June 2024, consistent with the previous year [34].

The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. This reflects how the analysts covering the stock have collectively reevaluated their initial estimates during this timeframe. While investors typically use consensus earnings and revenue estimates as a yardstick to evaluate the company's quarterly performance, scrutinizing analysts' projections for some of the company's key metrics can offer a more comprehensive perspective. Analysts' assessment points toward 'Revenue ...

Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell). For Frontdoor, the Most Accurate Estimate is lower than the Zacks Consensus Estimate, suggesting that analysts have recently become bearish on the company's earnings prospects. This has resulted in an Earnings ESP of -3.76%. So, ...

The semiconductors, which had led the market higher throughout this year, are beginning to show some chinks in the armor. I'm not saying yesterday was the start of a reversal to the downside that will last weeks. I'm just saying that this overbought industry is likely to give up some ground. The negativity could spill over to other areas of the market. You want to make sure that any additions you are making are not all flash and no substance. One way to do that is by leaning on the Zacks Rank. Stocks like t ...

After reaching an important support level, Frontdoor (FTDR) could be a good stock pick from a technical perspective. FTDR surpassed resistance at the 20-day moving average, suggesting a short-term bullish trend. The 20-day simple moving average is a popular investing tool. Traders like this SMA because it offers a look back at a stock's price over a shorter period and helps smooth out price fluctuations. The 20-day can also show more trend reversal signals than longer-term moving averages. Shares of FTDR ha ...

Investors seek growth stocks to capitalize on above-average growth in financials that help these securities grab the market's attention and produce exceptional returns. However, it isn't easy to find a great growth stock. In addition to volatility, these stocks carry above-average risk by their very nature. Also, one could end up losing from a stock whose growth story is actually over or nearing its end. However, it's pretty easy to find cutting-edge growth stocks with the help of the Zacks Growth Style Sco ...

Frontdoor (FTDR) has been one of the most searched-for stocks on Zacks.com lately. So, you might want to look at some of the facts that could shape the stock's performance in the near term. Shares of this home services provider have returned +23.7% over the past month versus the Zacks S&P 500 composite's +5% change. The Zacks Building Products - Miscellaneous industry, to which Frontdoor belongs, has gained 4.7% over this period. Now the key question is: Where could the stock be headed in the near term? Whi ...

Investors often opt for the stock-picking approach that involves stocks with a low price-to-earnings (P/E) ratio. This strategy is based on the notion that the lower the P/E ratio is, the higher the stock value. The reasoning behind this is straightforward — when a stock's current market price does not adequately reflect its higher earnings, it suggests potential for growth.But there is more to this whole P/E story. Because not only low P/E, stocks with a rising P/E can also fetch strong returns. In this re ...