Williams-Sonoma (NYSE:WSM) is reporting its second quarter earnings on Wednesday, August 27th after the market close. The consensus estimate on the street is for the company to post earnings of 0.53 cents per share. Analysts also expect a 7% increase in revenues year-over-year coming in at $1.047 billion. Same store sales are also predicted to increase by 6.2% over the same period last year. The stock itself has had a good run lately, up over 28% year to date.

WSM Chart

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The metrics we will be looking at are e-commerce revenue, gross margins and same store sales which are expected to be higher on the strength of its Pottery Barn and West Elm brands. We expect the company to post earnings of $0.55 cents per share on revenues of $1.051 billion. The company has put together a solid track record of beating estimates and we believe this quarter will be no different. Consumer Confidence has been solid over the summer and WSM has an online model that has been working to perfection. Revenues from e-commerce have grown nearly three times as fast as same store sales.

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