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Albertsons Companies, Inc. (NYSE:ACI) Earnings Preview: Key Financial Ratios in Focus

Albertsons Companies, Inc. (NYSE:ACI) Earnings Preview: Key Financial Ratios in Focus Oct. 11, 2024, 3 a.m., readers: 5

Earnings per Share (EPS) is estimated at $0.48 for the upcoming quarterly report. The Price-to-Earnings (P/E) ratio of 9.46 suggests a moderate market valuation of Albertsons' earnings. Albertsons' debt-to-equity ratio of 2.93 raises concerns about its financial stability. Albertsons Companies, Inc. (NYSE:ACI) is a major player in the grocery industry, operating numerous supermarkets across the United States. As a competitor to other retail giants like Kroger and Walmart, Albertsons is a key player in the market. The company is set to release its quarterly earnings on October 15, 2024, with Wall Street estimating an earnings per share (EPS) of $0.48 and projected revenue of $18.49 billion. Investors and analysts are eagerly awaiting the earnings report for the second quarter, which ended in August 2024. This report is crucial for understanding Albertsons' performance in the current market conditions. The company's price-to-earnings (P/E) ratio of 9.46 suggests that the market has a moderate valuation of its earnings, which could influence investor sentiment. Albertsons' price-to-sales ratio of 0.13 indicates a relatively low market valuation compared to its revenue. This could be an attractive point for investors looking for value opportunities. Additionally, the enterprise value to sales ratio of 0.31 reflects the company's total valuation in relation to its sales, providing further insight into its market position. The company's financial health is also under scrutiny, with an enterprise value to operating cash flow ratio of 8.79. This ratio helps investors understand how well Albertsons generates cash flow from its operations. However, the debt-to-equity ratio of 2.93 highlights a higher level of debt compared to equity, which may raise concerns about financial stability. Albertsons' current ratio of 0.88 suggests potential liquidity challenges in meeting short-term obligations. This metric is important for assessing the company's ability to cover its short-term liabilities with its short-term assets. As the earnings report approaches, these financial metrics will be closely watched to gauge Albertsons' overall performance and future prospects.

About NYSE: ACI

A lbertsons Companies, Inc., through its subsidiaries, engages in the operation of food and drug stores in the United States. The company's food and drug retail stores offer grocery products, general merchandise, health and beauty care products, pharmacy, fuel, and other items and services. It also manufactures and processes food products for sale in stores. As of February 26, 2022, it operated 2,276 stores under various banners, including Albertsons, Safeway, Vons, Pavilions, Randalls, Tom Thumb, Carrs, Jewel-Osco, Acme, Shaw's, Star Market, United Supermarkets, Market Street, Haggen, Kings Food Markets, and Balducci's Food Lovers Market;

Price: 19.10
Market cap: 11.1 billion USD
Eps: 1.71
P/e ratio: 11.17
Focus Analysis On: ACI