Avon (AVP) Shares Are Going Wild Over This

Shares of Avon took off like a roadrunner on Tuesday after the company released a strong earnings report for its second quarter. The stock has seen gains as high as 32% since Monday’s low.

Avon posted an earnings per share of $0.07, which came in even with a year ago and was past the expectations of the $0.02 that Wall Street had. Revenue matched expectations but fell 8% to $1.43 billion. It did however increase 5% on a constant-dollar basis and excluding the sale of Liz Earle.

CEO Sheri McCoy commented that the cosmetic company’s results were “slightly above our expectations” due to better-than-expected operating expectations.

The company is in the middle of a long turnaround strategy and had sold its North American business to Cerberus Capital Management in March for $435 million and also said it would cut 7% of its workforce and move its headquarters to the U.K.

Disclaimer: We have no position in Avon Products (NYSE: AVP) and have not been compensated for this article.

Sofia Vida

Sofia has been writing for major news outlets for over 15 years. In her spare time she enjoys hiking, walking her dogs, and going to concerts.

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