Rent-A-Center plummets on dismal outlook as inflation bites

Upbound

24/02/2022 14:59

** Rent-A-Center  RCII.O  plunges 22.0% to $27.10 after
rent-to-own furniture retailer's dismal Q4 results, outlook
    ** RCII falls to $22.70 early Thurs, lowest since May 2020,
amid tumble in stocks  .N 
    ** Co after the bell Weds said significantly reduced
government pandemic relief, inflation and supply chain
disruptions that negatively impacted Q4 results will continue
throughout 2022  urn:newsml:reuters.com:*:nBw77FWSa
    ** FY rev forecast of $4.45-$4.6 bln and adj EPS of $4.50-$5
well below Street estimates of $5.27 bln and $7.04, according to
Refinitiv IBES data
    ** Wall Street overwhelmingly bullish on RCII with avg
rating of 'strong buy' among 8 analysts; median PT is $68.50 -
Refinitiv
    ** With decline on Thurs, shares down ~44% YTD

 (Lance Tupper is a Reuters market analyst. The views expressed
are his own)
 ((lance.tupper@thomsonreuters.com
lance.tupper@tr.com 1-332-219-1430))