Tupperware stock plunges 40% after earnings

Tupperware (TUP.US) is one of the worst performing US stocks today. Company's shares are trading around 40% lower after release of a disappointing earnings report for Q3 2022. Tupperware reported Q3 2022 earnings at $0.14 per share, significantly below $0.42 expected by analysts and almost 90% below $1.19 reported in Q3 2021. Revenue dropped 20% YoY, to $302.8 million and also missed market's expectations ($316 million). Executives said that the company faced internal and external challenges that further eroded business in the Q3 2022 with sales growth decelerating in North Africa and Asia-Pacific while sales declines continued in Europe. Tupperware also said that it is facing bigger FX headwinds than previously expected as the US dollar continues to strengthen against other major currencies. On the bright side, the company said that it will make some of its products available at Target stores (TGT.US), signaling that it may start to look into partnerships with large retailers.

Tupperware's share price is plunging over 40% today. Stock dropped below a support zone in the $6.00 area and is now trading at the lowest level since mid-2020. A look at the chart at W1 interval shows that the stock has been in a downtrend for a long time and the strong upward move from March-November 2020 was nothing more than an upward correction. 

Source: xStation5