Avon Products (AVP) has a market cap of $2.2 billion. It fell 4.8% and closed at $5.11 per share on December 1, 2016. The stock’s weekly, monthly, and YTD (year-to-date) price movements were -9.4%, -20.0%, and 26.2%, respectively, on the same day. Avon is trading 10.6% below its 20-day moving average, 14.6% below its 50-day moving average, and 5.0% above its 200-day moving average.
Related ETF and peers
Jamie Wilson has been appointed as Avon Products’ executive vice president and CFO, effective January 1, 2017. He will take care of finance functions. Wilson will report to Sheri McCoy, the company’s CEO.
Performance in 3Q16
Avon Products reported total revenue of $1.41 billion in 3Q16—a fall of 2.1% compared to its total revenue of $1.44 billion in 3Q15. Sales of its Beauty and Fashion & Home categories fell 1.8% and 4.1%, respectively, in 3Q16—compared to 3Q15. The company’s gross profit margin fell by 20 basis points and its operating margin rose by 480 basis points in 3Q16—compared to the same period last year.
Avon’s gross margin was impacted negatively by foreign exchange during the quarter. The negative impact was offset by a fall in its supply chain costs and inflationary and strategic pricing. The rise in its operating margin was due to its cost-saving initiatives and its price mix, which were offset by the negative impact of foreign exchange.
Avon’s net income and EPS (earnings per share) rose to $36.0 million and $0.07, respectively, in 3Q16—compared to -$697.0 million and -$1.58, respectively, in 3Q15. It reported an adjusted EPS of $0.02 in 3Q16—compared to -$0.11 in 3Q15.
Avon’s cash and cash equivalents and inventories rose 31.3% and 13.2%, respectively, in 3Q16—compared to 4Q15. Its current ratio rose to 1.5x in 3Q16—compared to 1.1x in 4Q15.
Next, we’ll take a look at Apple (AAPL).