Burlington Stores, Inc. (BURL) has seen an impressive surge in its stock price over the past year, which climbed 102.7% and surpassed the Zacks Retail-Discount Stores industry's 45.3% growth. This is owing to the company's effective inventory management and focus on full-price selling, which has also helped it to outperform the broader Retail-Wholesale sector and the S&P 500 index's respective growth of 30.3% and 31.2% in the same period. This impressive uptick has left many investors wondering if they miss ...

While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies. Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use fundamental analysis and ...

Momentum investing revolves around the idea of following a stock's recent trend in either direction. In the 'long' context, investors will be essentially be "buying high, but hoping to sell even higher." With this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving that way. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades. Even though momentum is a popular stock cha ...

The Retail – Discount Stores industry is transforming due to a combination of economic pressures and changing consumer behaviors. Inflation and higher interest rates have created a challenging environment, impacting consumer spending patterns and confidence. While discount retailers are often seen as beneficiaries during economic strain, they now face the need to swiftly adapt to maintain their competitive edge. Industry participants have been focusing on deepening engagements with consumers, adding more co ...

As Burlington Stores CEO Michael O'Sullivan discussed the company's strong fiscal results during its secondquarter earnings call (Aug. 29), he offered his thoughts related to strategic changes and their positive impact. "Over the past 18 months the external environment has become more favorable," O'Sullivan said. "Two years ago, our core low-income customer was under severe economic pressure from the higher cost of living. Since then, it feels as if two things have happened. As inflation has moderated, the ...

BURLINGTON, Ontario, Sept. 10, 2024 (GLOBE NEWSWIRE) -- Ashwood Glen School proudly announces its certification as an International Baccalaureate (IB) World School for the Primary Years Programme (PYP), becoming the sole provider of this prestigious program in Burlington, Ontario. The International Baccalaureate® (IB) was founded in Geneva, Switzerland, in 1968. With over five decades of educational excellence, the IB has established itself as a leader in international education. This milestone achievement ...

Burlington Stores (BURL) is looking like an interesting pick from a technical perspective, as the company reached a key level of support. Recently, BURL crossed above the 20-day moving average, suggesting a shortterm bullish trend. A well-liked tool among traders, the 20-day simple moving average offers a look back at a stock's price over a 20-day period. This is very beneficial to short-term traders, as it smooths out short-term price trends and gives more trend reversal signals than longer-term moving ave ...

Burlington Stores (BURL) appears an attractive pick, as it has been recently upgraded to a Zacks Rank #2 (Buy). An upward trend in earnings estimates -- one of the most powerful forces impacting stock prices -- has triggered this rating change. A company's changing earnings picture is at the core of the Zacks rating. The system tracks the Zacks Consensus Estimate -- the consensus measure of EPS estimates from the sell-side analysts covering the stock -- for the current and following years. Individual invest ...

Core Viewpoint - Burlington Stores, Inc. (BURL) reported strong Q2 2024 results, exceeding expectations in both revenue and earnings, driven by new store openings and improved comparable sales growth [2][4][12] Company Overview - BURL is a US fashion retailer with a market cap of $16.89 billion, focusing on off-price retailing with discounts up to 60% [1] - The company operates over 1,000 locations and employs more than 44,000 people [1] Financial Performance - Total sales increased by 13% year-over-year (YoY) to $2.47 billion, surpassing Wall Street's expectations of $2.42 billion [2] - Comparable sales grew by 5% YoY, exceeding the company's previous guidance of 0% to 2% [2][6] Growth Drivers - New store openings contributed significantly, with 36 net new stores added in Q2, bringing the total to 1,057 [3] - New stores are performing above the benchmark of $7 million in sales in their first year [3] - Comparable sales growth accelerated due to a shift towards full-price sales, which increased by 7%, while clearance sales declined [3] Margin Improvement - Gross margin improved by 110 basis points YoY to 42.8%, driven by better merchandise margins and lower freight expenses [4] - Adjusted EBIT margin increased by 160 basis points to 4.8%, exceeding management's expectations [4] Guidance Updates - Full-year EBIT margin guidance was upgraded from 40-60 basis points to 50-70 basis points, and adjusted EPS guidance was raised from $7.35-$7.75 to $7.66-$7.96 [5][6] - Despite the positive adjustments, management remains cautious about future growth, maintaining conservative comp growth estimates for Q3 and Q4 [7] Macro Environment - The retail sector is facing challenges, including rising unemployment and a contraction in consumer spending in the clothing and footwear segment [8] - BURL's off-price model positions it favorably as consumers seek value during economic uncertainty [9] Competitive Position - BURL is outperforming its off-price peers, such as TJX and Ross Stores, in terms of top-line growth and store expansion [10] - While BURL has a higher P/E ratio compared to its peers, its growth potential justifies this valuation [11] Conclusion - BURL's strong Q2 performance and growth strategies suggest continued success, even amid a challenging macro environment [12]

Katrina Wittkamp Investment action I recommended a buy rating for Burlington Stores (NYSE:BURL) when I wrote about it in June, as I gained more confidence that BURL can achieve its long-term targets, given the encouraging 1Q24 results and underlying momentum. Based on my current outlook and analysis, I recommend a buy rating. BURL continues to report solid growth momentum, with acceleration in comparable store growth [CSG] that makes me believe management's guidance is overly conservative. My expectation is ...