BOOT

The market expects Capri Holdings (CPRI) to deliver a year-over-year increase in earnings on lower revenues when it reports results for the quarter ended September 2026. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates. The earnings report, which is expected to be released on October 30, might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower. While management's discussion of business conditions on the earnings call will mostly determine the sustainability of the immediate price change and future earnings expectations, it's worth having a handicapping insight into the odds of a positive EPS surprise. This luxury retailer is expected to post quarterly earnings of $0.21 per share in its upcoming report, which represents a year-over-year change of +800%. Revenues are expected to be $781.27 million, down 8.7% from the year-ago quarter. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period. Investors should keep in mind that an aggregate change may not always reflect the direction of estimate revisions by each of the covering analysts. Price, Consensus and EPS Surprise Estimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. Our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction) -- has this insight at its core. The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier. Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only. A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP. Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell). For Capri Holdings, the Most Accurate Estimate is higher than the Zacks Consensus Estimate, suggesting that analysts have recently become bullish on the company's earnings prospects. This has resulted in an Earnings ESP of +4.76%. On the other hand, the stock currently carries a Zacks Rank of #3. So, this combination indicates that Capri Holdings will most likely beat the consensus EPS estimate. Analysts often consider to what extent a company has been able to match consensus estimates in the past while calculating their estimates for its future earnings. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number. For the last reported quarter, it was expected that Capri Holdings would post earnings of $0.4 per share when it actually produced earnings of $0.67, delivering a surprise of +67.50%. Over the last four quarters, the company has beaten consensus EPS estimates three times. An earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss. That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported. Capri Holdings appears a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release. Boot Barn (BOOT), another stock in the Zacks Retail - Apparel and Shoes industry, is expected to report earnings per share of $1.63 for the quarter ended September 2026. This estimate points to a year-over-year change of +19%. Revenues for the quarter are expected to be $581.15 million, up 15% from the year-ago quarter. The consensus EPS estimate for Boot Barn has remained unchanged over the last 30 days. However, a higher Most Accurate Estimate has resulted in an Earnings ESP of +0.49%. When combined with a Zacks Rank of #2 (Buy), this Earnings ESP indicates that Boot Barn will most likely beat the consensus EPS estimate. Over the last four quarters, the company surpassed consensus EPS estimates three times. Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Capri Holdings Limited (CPRI) : Free Stock Analysis Report Boot Barn Holdings, Inc. (BOOT) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Deckers Outdoor Corporation DECK reported mixed second-quarter fiscal 2027 results, with earnings surpassing the Zacks Consensus Estimate but revenues falling short. Adjusted earnings of $2.03 per share increased 11.5% year over year and beat the consensus estimate of $1.82. Including a 28-cent benefit from net refunds related to International Emergency Economic Powers Act ("IEEPA") tariffs, earnings came in at $2.31 per share. Net sales grew 3.5% year over year to $1,480.6 million but missed the Zacks Consensus Estimate of $1,510 million. On a constant-currency basis, net sales increased 2.8%. Strong full-price selling, favorable product mix and disciplined expense management supported profitability. However, softer domestic direct-to-consumer (DTC) demand and European logistics disruptions weighed on revenues. International sales increased 9%, providing an important growth driver. The HOKA brand generated revenues of $677.2 million, up 6.8% year over year. Wholesale strength and continued international momentum supported growth. HOKA wholesale revenues rose 9%, while DTC sales grew 4%. The UGG brand delivered revenues of $786.4 million, increasing 3.5% year over year. Wholesale revenues grew 7%, partially offset by an 8% decline in DTC sales. Other Brands revenues decreased 54.3% to $17 million, reflecting the wind-down of Koolaburra's standalone operations. Wholesale net sales increased 5.5% year over year to $1.09 billion in the second quarter, supported by healthy global sell-in across HOKA and UGG. Strong performance in multi-brand retail environments helped offset weaker demand through company-operated channels. DTC net sales declined 1.8% to $387.5 million, while comparable DTC sales decreased 6.4%. Management attributed the weakness primarily to heightened promotional activity in the U.S. athletic footwear market and increasingly selective consumer spending. Domestic revenues declined 0.4% to $835.8 million, while international revenues increased 9% to $644.7 million. Asia-Pacific delivered the highest percentage growth among international regions. European third-party logistics disruptions delayed approximately $22 million in shipments. Management cautioned that some delayed sales could be canceled rather than fully recovered in subsequent quarters. Deckers Outdoor Corporation price-consensus-eps-surprise-chart | Deckers Outdoor Corporation Quote Gross profit increased 11.4% year over year to $895.1 million. Gross margin expanded 430 basis points to 60.5%, including a 310-basis-point benefit from IEEPA tariff refunds. Excluding this benefit, gross margin improved 120 basis points, supported by favorable product mix and full-price selling. Selling, general and administrative expenses increased 5.9% year over year to $505.7 million. Higher marketing and technology investments contributed to the increase, although management's cost-control measures kept spending below expectations. Operating income rose 19.3% to $389.5 million. Operating margin expanded to 26.3% from 22.8%. Excluding tariff refund benefits, operating margin reached 23.2%, reflecting underlying profitability improvement. Cash and cash equivalents totaled $1.21 billion as of Sept. 30, 2026 compared with $1.41 billion a year earlier. Inventories increased 3% year over year to $860.8 million. The company maintained a debt-free balance sheet with no outstanding borrowings. During the quarter, Deckers repurchased approximately 3.2 million shares for $299.3 million at an average price of $93.65 per share. First-half repurchases totaled $637.5 million, with approximately $4.4 billion remaining under its authorization. For the fiscal third quarter, management expects consolidated revenues to increase at a low-single-digit rate. UGG revenues are projected to grow at a low-single-digit pace, while HOKA revenues are expected to increase at a low-to-mid-single-digit rate. Management expects continued international strength but anticipates pressure on domestic DTC sales as consumers increasingly seek promotional offers. Higher freight expenses and slightly increased promotional activity are also expected to affect margins. Third-quarter earnings are projected between $3.52 and $3.60 per share, including approximately 24 cents from IEEPA tariff refunds. Product launches and international demand are expected to support an acceleration in HOKA's revenue growth during the fourth quarter. For fiscal 2027, Deckers lowered its consolidated revenue outlook to $5.70-$5.725 billion from $5.86-$5.91 billion. HOKA revenues are now expected to increase at a high-single-digit rate compared with the previous low-double-digit outlook. UGG growth expectations were reduced to low-single-digit from mid-single-digit. Gross margin is now projected at approximately 58.5%, while SG&A expenses are expected to represent 35.5% of revenues. Operating margin is forecast at approximately 23%, including tariff refund benefits. Management raised its earnings guidance to $7.80-$7.95 per share from $7.35-$7.50, incorporating approximately 52 cents of tariff refund benefits. Excluding these benefits, the outlook implies a gross margin of 57% and operating margin slightly above 21.5%. The company continues to expect an effective tax rate of approximately 23% and assumes $1 billion in fiscal-year share repurchases. Shares of this Zacks Rank #3 (Hold) company have fallen 11.2% over the past three months compared with the industry's decline of 2.5%. Vince Holding Corp. VNCE, a leading global luxury apparel and accessories brand, sports a Zacks Rank of 1 (Strong Buy). VNCE delivered a trailing four-quarter earnings surprise of 561.4%, on average. You can see the complete list of today's Zacks #1 Rank stocks here. The Zacks Consensus Estimate for Vince Holding's current fiscal-year sales and EPS calls for growth of 14% and 175%, respectively, from the year-ago figures. Abercrombie & Fitch Co. ANF, a global, digitally led, omnichannel specialty retailer of apparel and accessories, sports a Zacks Rank #1. ANF delivered a trailing four-quarter earnings surprise of 13.6%, on average. The Zacks Consensus Estimate for Abercrombie & Fitch's current fiscal-year sales and EPS implies growth of 4.8% and 15.8%, respectively, from the year-ago figures. Boot Barn Holdings, Inc. BOOT, a leading lifestyle retailer of western and work-related footwear, apparel and accessories, carries a Zacks Rank #2 (Buy). BOOT delivered a trailing four-quarter earnings surprise of 11.4%, on average. The Zacks Consensus Estimate for BOOT's current fiscal-year sales and EPS calls for growth of 15.8% and 23.7%, respectively, from the year-ago figures. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Deckers Outdoor Corporation (DECK) : Free Stock Analysis Report Abercrombie & Fitch Company (ANF) : Free Stock Analysis Report Boot Barn Holdings, Inc. (BOOT) : Free Stock Analysis Report Vince Holding Corp. (VNCE) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Tractor Supply Company TSCO reported earnings of 43 cents per share for the third quarter of 2026, down 11.6% year over year. The bottom line surpassed the Zacks Consensus Estimate of 41 cents. Net sales increased 5.1% year over year to $3.91 billion, beating the consensus mark of $3.81 billion. Growth was driven by new store openings, the VIP Petcare acquisition and improved comparable-store sales (comps). Despite earnings pressure, management highlighted improving sales momentum and progress across its value, pet, digital and convenience initiatives. The company continues to prioritize productivity improvements, disciplined capital allocation and actions aimed at restoring operating margins. Over the past three months, this Zacks Rank #3 (Hold) stock has gained 5.2%, outperforming the industry's 4.7% growth. Image Source: Zacks Investment Research Comps increased 0.4% compared with 3.9% growth in the year-ago quarter. The increase reflected a 0.7% rise in comparable average transaction value, partly offset by a 0.3% decline in transaction count. Average transaction value reached $59.8 compared with $59.5 a year ago. Our model had forecast comparable average transaction growth of 0.4% for the third quarter. Comps improved sequentially throughout the quarter, moving from negative territory in July to modest growth in August and further strengthening in September. Seasonal categories, including wildlife supplies, equine and livestock products, and truck, tool and hardware merchandise, performed well. The company's consumable, usable and edible categories performed well, while digital sales registered double-digit growth. However, weakness persisted in big-ticket merchandise and companion animal categories. Although companion animal sales remained below the company average, performance trends have improved steadily since the previous quarter. Tractor Supply Company price-consensus-eps-surprise-chart | Tractor Supply Company Quote Gross profit increased 2.6% year over year to $1.4 billion. However, gross margin contracted 100 basis points (bps) from the prior-year quarter to 36.4%. Higher transportation and fuel expenses, alongside incremental investments to strengthen the company's price-value positioning, weighed on profitability. Our model had expected adjusted gross profit to rise 0.4% year over year while adjusted gross margin contracted 90 bps for the third quarter. Selling, general and administrative (SG&A) expenses, including depreciation and amortization, increased 6.8% year over year to $1.1 billion. As a percentage of sales, SG&A expenses expanded 50 bps to 28.6%. The increase primarily reflected deleverage associated with weaker comps growth and startup expenses related to the new distribution center. Disciplined expense management partially mitigated these pressures. Operating income declined 10.2% year over year to $307.7 million. The operating margin contracted 130 bps year over year to 7.9%, reflecting gross margin pressure and increased operating expenses. We had anticipated adjusted operating income to decrease 17.5% year over year and adjusted operating margin contraction of 180 bps for the third quarter. Tractor Supply ended the quarter with cash and cash equivalents of $198.9 million, long-term debt of $2.2 billion and stockholders' equity of $2.7 billion. Inventories totaled $3.6 billion. During the first nine months of 2026, net cash provided by operating activities totaled $882.6 million compared with $1.3 billion in the year-ago period. Capital expenditures amounted to $651.6 million compared with $629.2 million. The company returned $213.4 million to shareholders during the quarter, comprising share repurchases of roughly 2.7 million shares for $88.5 million and cash dividends of $124.9 million. Tractor Supply opened 23 stores and closed 74 Petsense locations during the quarter. It ended the period with 2,486 Tractor Supply stores and 135 Petsense stores, bringing its consolidated store count to 2,621. Management reaffirmed its 2026 guidance, projecting net sales growth of 2.5-3.5%. Comparable-store sales are expected to range from a 1% decline to flat performance. The company anticipates an operating margin of 8-8.3%, with the adjusted operating margin expected between 8.5% and 8.8%. Reported net income is projected at $930-$990 million, while adjusted net income is forecast between $990 million and $1.05 billion. Reported earnings are expected between $1.78 and $1.88 per share, while adjusted earnings are projected at $1.90-$2 per share. Management remains focused on accelerating comps growth, improving productivity and restoring operating margins. As the company enters the winter season, its priorities include strengthening customer value, enhancing convenience and maintaining disciplined investments to support long-term performance. FIGS, Inc. FIGS is an apparel company focused on the healthcare industry. Its offerings include lab coats, jackets, footwear, bags, socks and other accessories used by healthcare professionals. The company carries a Zacks Rank #2 (Buy) at present. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. The Zacks Consensus Estimate for FIGS' current financial-year earnings and sales suggests growth of 89.5% and 19.8%, respectively, from the year-ago actuals. FIGS delivered a trailing four-quarter average earnings surprise of 201.8%. Boot Barn Holdings, Inc. BOOT is the largest lifestyle retailer in the United States, specializing in western and work-related footwear, apparel and accessories. The company also carries a Zacks Rank of 2 at present. The Zacks Consensus Estimate for Boot Barn's current fiscal-year earnings and sales suggests growth of 23.7% and 15.8%, respectively, from the year-ago actuals. BOOT delivered a trailing four-quarter average earnings surprise of 11.4%. Fossil Group, Inc. FOSL is involved in designing, marketing and distributing consumer fashion accessories. It also carries a Zacks Rank of 2. The Zacks Consensus Estimate for Fossil Group's current fiscal-year earnings suggests growth of 96.7% from the year-ago actuals. FOSL delivered an earnings surprise of 55.2% in the last reported quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Tractor Supply Company (TSCO) : Free Stock Analysis Report Boot Barn Holdings, Inc. (BOOT) : Free Stock Analysis Report Fossil Group, Inc. (FOSL) : Free Stock Analysis Report FIGS, Inc. (FIGS) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Looking for a stock that has been consistently beating earnings estimates and might be well positioned to keep the streak alive in its next quarterly report? Boot Barn (BOOT), which belongs to the Zacks Retail - Apparel and Shoes industry, could be a great candidate to consider. This Western apparel and footwear retailer has seen a nice streak of beating earnings estimates, especially when looking at the previous two reports. The average surprise for the last two quarters was 18.45%. For the most recent quarter, Boot Barn was expected to post earnings of $1.69 per share, but it reported $2.29 per share instead, representing a surprise of 35.50%. For the previous quarter, the consensus estimate was $1.43 per share, while it actually produced $1.45 per share, a surprise of 1.40%. For Boot Barn, estimates have been trending higher, thanks in part to this earnings surprise history. And when you look at the stock's positive Zacks Earnings ESP (Expected Surprise Prediction), it's a great indicator of a future earnings beat, especially when combined with its solid Zacks Rank. Our research shows that stocks with the combination of a positive Earnings ESP and a Zacks Rank #3 (Hold) or better produce a positive surprise nearly 70% of the time. In other words, if you have 10 stocks with this combination, the number of stocks that beat the consensus estimate could be as high as seven. The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a version of the Zacks Consensus whose definition is related to change. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier. Boot Barn has an Earnings ESP of +0.49% at the moment, suggesting that analysts have grown bullish on its near-term earnings potential. When you combine this positive Earnings ESP with the stock's Zacks Rank #2 (Buy), it shows that another beat is possibly around the corner. When the Earnings ESP comes up negative, investors should note that this will reduce the predictive power of the metric. But, a negative value is not indicative of a stock's earnings miss. Many companies end up beating the consensus EPS estimate, but that may not be the sole basis for their stocks moving higher. On the other hand, some stocks may hold their ground even if they end up missing the consensus estimate. Because of this, it's really important to check a company's Earnings ESP ahead of its quarterly release to increase the odds of success. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Boot Barn Holdings, Inc. (BOOT) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Boot Barn Holdings has seen its share price move around over the past few years, which puts a spotlight on what investors are really paying for the company’s earnings today. With the stock now trading at US$142.84, the question is how that level lines up with the profits the business is generating. Over the past 3 years, Boot Barn Holdings has delivered a total shareholder return of 66.5%, which makes the current earnings based valuation an important checkpoint for anyone coming to the story now. The retailer’s model relies heavily on converting merchandise sales into consistent profits and cash, so margins, inventory discipline and store economics can have a direct impact on how dependable its earnings base looks. Your read on Boot Barn Holdings is one view; the desks covering it have another. See what analysts think Boot Barn Holdings's shares could be worth. The issue now is whether Boot Barn Holdings' current share price is adequately supported by the earnings that underpin it. If you want another reference point for judging Boot Barn Holdings on its earnings, it can help to compare it with companies in 35 high quality undervalued stocks. The P/E ratio fits Boot Barn Holdings well because earnings remain the main anchor for how the retailer is priced. From this perspective, the stock trades on a P/E of 17.8x, which is above the specialty retail industry average of about 16.6x and also higher than the peer group on roughly 11.5x. That results in a clear premium on each dollar of profit Boot Barn generates compared with many comparable retailers. The fair value framework that blends the company’s growth profile, profitability, sector backdrop and risk points to a lower earnings multiple than the price currently reflects. Since the actual P/E for Boot Barn Holdings now sits above that tailored reference point as well as broader peers, the shares screen as overvalued on this earnings based yardstick. Explore the numbers behind Boot Barn Holdings's P/E valuation. Simply Wall St Narratives for Boot Barn Holdings pick up where the valuation question leaves off by explaining which paths for sales growth, margins and earnings would need to occur for the stock to be worth materially more or less than it is today. Each narrative treats Boot Barn Holdings' implied fair value as a thesis about the business that can be tracked over time rather than a one off snapshot. One of the top community narratives on Boot Barn Holdings: 27% undervalued Discover why this Narrative puts Boot Barn Holdings at 27% undervalued. Price and earnings only tell part of the story for Boot Barn Holdings, because the people making capital calls and how their rewards are structured can strongly influence what happens next. See who runs Boot Barn Holdings and how they are paid. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include BOOT. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]

Let’s dig into the relative performance of Boot Barn (NYSE:BOOT) and its peers as we unravel the now-completed Q2 apparel and footwear retail earnings season. Apparel and footwear was once a category thought to be relatively safe from major e-commerce penetration because of the need to try on, touch, and feel products, but the category is now meaningfully transacted online. Everyone still needs clothes and shoes to go outside unless they want some curious (or horrified) looks. But this ongoing digitization is forcing apparel and footwear retailers–that once only had brick-and-mortar stores–to respond with omnichannel offerings. The online shopping experience continues to improve and retail foot traffic in places like shopping malls continues to stagnate, so the evolution of clothing and shoes sellers marches on. The 9 apparel and footwear retail stocks we track reported a satisfactory Q2. As a group, revenues were in line with analysts’ consensus estimates while next quarter’s revenue guidance was 1% below. In light of this news, share prices of the companies have held steady. On average, they are relatively unchanged since the latest earnings results. With a strong store presence in Texas, California, Florida, and Oklahoma, Boot Barn (NYSE:BOOT) is a western-inspired apparel and footwear retailer. Boot Barn reported revenues of $593.5 million, up 17.7% year on year. This print exceeded analysts’ expectations by 1.7%. Overall, it was a satisfactory quarter for the company with a beat of analysts’ EPS estimates but EPS guidance for next quarter missing analysts’ expectations significantly. John Hazen, Chief Executive Officer, commented, “We are pleased with our strong start to fiscal 2027, as first quarter results exceeded our expectations and reflected broad-based strength across the business. Our team continues to execute at a high level, delivering solid same store sales growth, expanding margin, and opening new stores that continue to perform above our expectations.” Boot Barn scored the fastest revenue growth of the whole group. Even though it had a relatively good quarter, the market seems discontent with the results. The stock is down 4.2% since reporting and currently trades at $144.57. Is now the time to buy Boot Barn? Access our full analysis of the earnings results here, it’s free. With an emphasis on skate and surf culture, Tilly’s (NYSE:TLYS) is a specialty retailer that sells clothing, footwear, and accessories geared towards fashion-forward teens and young adults. Tilly's reported revenues of $163.5 million, up 8.1% year on year, outperforming analysts’ expectations by 4.1%. The business had an incredible quarter with EPS guidance for next quarter exceeding analysts’ expectations and a beat of analysts’ EPS estimates. Tilly's achieved the biggest analyst estimate beat and highest guidance raise in the group. The market seems happy with the results as the stock is up 28% since reporting. It currently trades at $4.88. Is now the time to buy Tilly's? Access our full analysis of the earnings results here, it’s free. With store associates called “Zumiez Stash Members”, Zumiez (NASDAQ:ZUMZ) is a specialty retailer of street and skate apparel, footwear, and accessories. Zumiez reported revenues of $209 million, down 2.5% year on year, falling short of analysts’ expectations by 1.5%. It was a disappointing quarter as it posted revenue guidance for next quarter missing analysts’ expectations significantly and EPS guidance for next quarter missing analysts’ expectations significantly. As expected, the stock is down 13.9% since the results and currently trades at $14.38. Read our full analysis of Zumiez’s results here. Originally serving yogis and hockey players, Lululemon (NASDAQ:LULU) is a designer, distributor, and retailer of athletic apparel for men and women. Lululemon reported revenues of $2.42 billion, down 4.3% year on year. This print came in 1.7% below analysts’ expectations. Overall, it was a softer quarter as it also recorded full-year EPS guidance missing analysts’ expectations significantly and revenue guidance for next quarter missing analysts’ expectations significantly. Lululemon had the weakest performance against analyst estimates, weakest guidance update, and slowest revenue growth among its peers. The stock is down 17.6% since reporting and currently trades at $100.28. Read our full, actionable report on Lululemon here, it’s free. Spun off from L Brands in 2020, Victoria’s Secret (NYSE:VSXY) is an intimate clothing and beauty retailer that sells its own brands of lingerie, undergarments, and personal fragrances. Victoria's Secret reported revenues of $1.61 billion, up 10.4% year on year. This number missed analysts’ expectations by 0.6%. More broadly, it was a mixed quarter as it also produced a beat of analysts’ EPS estimates but full-year EPS guidance missing analysts’ expectations. Victoria's Secret scored the highest full-year guidance raise of the whole group. The stock is down 12.2% since reporting and currently trades at $74.50. Read our full, actionable report on Victoria's Secret here, it’s free. Over the past year, investors have been forced to repeatedly answer the same question: what is the market’s biggest risk? The answer has changed several times, and each shift has reshaped market leadership. Late in 2025 and early 2026, artificial intelligence became the market’s primary uncertainty. Investors questioned whether AI would erode software pricing power and weaken competitive moats as AI made it easier to replicate once-differentiated products. By the spring, technology took a back seat to geopolitics. The U.S. conflict with Iran briefly became the market’s dominant narrative, raising concerns about oil prices, inflation, and global growth. But as energy markets remained orderly and fears of a prolonged supply disruption faded, investors quickly turned their focus back to fundamentals. Want to invest in winners with rock-solid fundamentals? Check out our 9 Best Market-Beating Stocks and add them to your watchlist. These companies are poised for growth regardless of the political or macroeconomic climate.

Zumiez Inc. ZUMZ reported second-quarter fiscal 2026 results, wherein the top line missed the Zacks Consensus Estimate and declined year over year, while the bottom line also missed the same. Zumiez posted a loss of 17 cents per share, wider than the year-ago loss of 6 cents and the Zacks Consensus Estimate of a loss of 14 cents. The bottom line missed the consensus mark by 21.4%. Net sales declined 2.5% year over year to $209 million from $214.3 million and missed the consensus estimate of $212 million by 1.4%. U.S. weakness, particularly in footwear and customer traffic, weighed on results. Inventory was $157.3 million compared with $157.7 million a year ago. Zumiez Inc. price-consensus-eps-surprise-chart | Zumiez Inc. Quote Second-quarter net sales were $209 million, down from $214.3 million in the year-ago quarter. Management attributed the decline primarily to weaker performance in the United States, while growth across international markets partly cushioned the pressure. The consolidated sales decline was due to fewer transactions. Dollars per transaction increased from the prior-year period as higher units per transaction more than offset a decrease in average unit retail. Management said that footwear remained the most significant headwind in the U.S. business. Accessories was the strongest positive-performing merchandise category during the quarter, followed by men's. Footwear was the largest negative-performing category, followed by hardgoods and women's merchandise. Management said that footwear has been challenged since the second quarter of fiscal 2025. During the second quarter and back-to-school periods of fiscal 2026, footwear accounted for 70% of the total U.S. sales decline from the comparable prior-year period. Zumiez is working with brand partners and its private-label portfolio to introduce more differentiated merchandise. Gross profit declined 2.9% to $73.9 million from $76 million in the second quarter of fiscal 2025. Gross margin narrowed 20 basis points to 35.3% from 35.5% in the prior-year quarter. The margin contraction reflected 60 basis points of deleverage in store occupancy costs due to lower sales. This was partly offset by a 50-basis-point benefit from tariff refunds. The year-over-year comparison underscores the impact of softer sales volumes on fixed store costs. SG&A expenses decreased 1% to $75.2 million from $75.9 million a year earlier. However, SG&A expenses increased to 35.9% of sales from 35.4% in the prior-year period as weaker revenues reduced expense leverage. ZUMZ recorded an operating loss of $1.3 million against operating income of $0.1 million a year ago. For the first six months of fiscal 2026, net sales increased 0.9% to $402.3 million from $398.6 million in the first six months of fiscal 2025. Gross profit rose 2.9% to $135.2 million from $131.3 million, while gross margin improved to 33.6% from 32.9%. The six-month operating loss narrowed to $16.5 million from $19.8 million. However, net loss widened to $16 million from $15.3 million, while loss per share increased to $1 from 88 cents in the year-ago period. Cash and current marketable securities totaled $97.3 million as of Aug. 1, 2026, down from $106.7 million as of Aug. 2, 2025. Total shareholders' equity was $279 million compared with $292.4 million a year earlier. Inventory decreased to $157.3 million from $157.7 million in the prior-year period. For the first six months, cash used for common-stock repurchases totaled $29.5 million compared with $32.7 million a year ago. For the third quarter of fiscal 2026, Zumiez expects earnings per share between breakeven and 10 cents. This compares with earnings of 55 cents per share in the third quarter of fiscal 2025, reflecting management's cautious stance following weaker back-to-school trends. For fiscal 2026, the company expects depreciation and amortization, excluding non-cash lease expense, to be about $19.2 million compared with $21.3 million in fiscal 2025. Shares of this Zacks Rank #4 (Sell) company have lost 9.2% over the past three months compared with the industry’s decline of 14.3%. Image Source: Zacks Investment Research Some better-ranked stocks have been discussed below: FIGS, Inc. FIGS operates as a direct-to-consumer healthcare apparel and lifestyle company in the United States and internationally. At present, FIGS carries a Zacks Rank of 2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. The Zacks Consensus Estimate for FIGS’s current fiscal-year sales and earnings implies growth of 18.2% and 89.5%, respectively, from the year-ago figures. FIGS has delivered a trailing four-quarter earnings surprise of 201.8%, on average. Fossil Group, Inc. FOSL designs, develops, markets, and distributes consumer fashion accessories in the United States, Europe, Asia, and internationally. At present, FOSL carries a Zacks Rank of 2. The Zacks Consensus Estimate for FOSL’s current fiscal-year sales indicates a decline of 4%, while the same for earnings indicates growth of 96.7% from the year-ago figures. FOSL delivered a trailing four-quarter negative earnings surprise of 236.2%, on average. Boot Barn Holdings, Inc. BOOT operates specialty retail stores in the United States and internationally. At present, Boot Barn carries a Zacks Rank of 2. The consensus estimate for Boot Barn’s current fiscal-year sales and earnings implies growth of 15.7% and 22.6%, respectively, from the year-ago figures. BOOT delivered a trailing four-quarter earnings surprise of 11.4%, on average. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Zumiez Inc. (ZUMZ) : Free Stock Analysis Report Boot Barn Holdings, Inc. (BOOT) : Free Stock Analysis Report Fossil Group, Inc. (FOSL) : Free Stock Analysis Report FIGS, Inc. (FIGS) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

American Eagle Outfitters, Inc. AEO delivered a solid second-quarter fiscal 2026 performance, with revenues and comparable sales increasing year over year as strong momentum at Aerie and OFFLINE helped offset softness at its core American Eagle brand. The company is investing in digital capabilities, marketing, inventory management and supply-chain initiatives to strengthen its brands, improve operating efficiency and support long-term growth.AEO's second-quarter results also reflected a significant benefit from IEEPA tariff refunds, which boosted gross and operating margins. While this benefit is largely nonrecurring, underlying business trends are improving, particularly at Aerie, where customer engagement, product momentum and brand awareness continue to expand. Management also expects sales growth and higher gross margins for fiscal 2026.Shares of American Eagle have declined 21.6% in the past three months, while the industry has also fallen 18.1%. Image Source: Zacks Investment Research American Eagle reported earnings of 79 cents per share for the second quarter, up from 45 cents in the year-ago quarter and significantly above the Zacks Consensus Estimate of 21 cents. Net revenues increased 8% year over year to $1.38 billion, while comparable sales increased 6%. Aerie remained the key growth engine, with comparable sales rising 19%, while American Eagle comps declined 1%.Profitability improved sharply, although the gains were substantially influenced by tariff refunds. Gross profit increased 34% to $672 million, while gross margin expanded 980 basis points to 48.7%. The quarter included a $179 million net tariff-refund benefit in gross profit, which contributed 1,300 basis points to gross-margin expansion. Merchandise margin, however, deleveraged 330 basis points as improvement at Aerie was more than offset by markdowns at American Eagle.Operating income increased to $211 million from $103 million a year ago, while operating margin expanded to 15.3% from 8%. A $161 million net operating income benefit from tariff refunds accounted for a substantial portion of the improvement. SG&A increased 19% to $408 million, reflecting planned advertising investments and tariff-refund-related incentive compensation.Inventory increased 14% year over year at cost, with units up 9%, partly reflecting incremental tariffs. Management plans to continue rebalancing inventory between brands and categories during the remainder of the year. Management expects fiscal 2026 comparable sales to increase in the mid-single digits, with gross margin projected to expand year over year. Operating income is expected in the range of $540-$550 million, inclusive of the net tariff-refund benefit. For the third quarter, comparable sales are expected to increase in the mid-to-high single digits, while operating income is projected at $110-$115 million.Aerie and OFFLINE are expected to remain the strongest contributors, with third-quarter comparable sales projected in the high-teens to 20% range. In contrast, American Eagle comps are expected to be approximately flat. The company expects third-quarter gross margin to be roughly flat year over year, while SG&A is projected to rise in the high-single digits. Aerie remains a powerful growth engine. Aerie revenues increased 25% in the second quarter to $536 million, while comparable sales rose 19%. Growth was broad-based across stores, digital channels and categories, including apparel, intimates and activewear. The brand is also expanding its customer base, with its Advocate program nearly doubling during the quarter.Aerie's relatively lower brand awareness compared with American Eagle provides additional room for expansion. Management is using digital marketing, in-store events, Realmakers and advocacy initiatives to increase engagement and attract new customers. Continued innovation across bras, intimates, apparel and coordinated outfitting should provide multiple avenues for growth.Strategic investments are strengthening the broader business. American Eagle has been investing in digital capabilities, distribution-center automation, inventory management and supply-chain diversification while working with sourcing vendors to reduce costs and lower exposure to China. These initiatives are designed to improve agility, inventory discipline and margin health.Operating leverage presents another opportunity. Management expects advertising to become a leverage line on a forward 12-month basis as the company laps elevated spending. AEO is also targeting SG&A leverage in fiscal 2027 if comparable sales grow at low-to-mid-single-digit rates. Continued efforts to control rent, delivery and distribution costs could further improve profitability if revenue growth remains healthy.The company also retains financial flexibility to fund growth initiatives and return capital to shareholders. AEO ended the second quarter with approximately $148 million in cash and investments and $783 million of total liquidity, including its revolver. It returned $21 million through its quarterly dividend during the quarter. Uneven performance at American Eagle remains a key concern. While consolidated comparable sales increased 6%, American Eagle comps declined 1%. Men's delivered a fourth consecutive quarter of positive comps, but the women's business continues to require improvement. The company is working through older denim fits and seasonal inventory, with shorts identified as a major area requiring cleanup. These challenges are also weighing on merchandise margins. AEO expects additional markdowns in the third quarter as it rebalances inventory. Consequently, the pace of margin recovery could remain constrained until the core American Eagle business achieves more consistent product and inventory execution.The second-quarter results benefited substantially from $196 million of IEEPA tariff refunds, including interest. The net operating-income benefit was $161 million, while substantially all refunds tied to submitted claims have now been received. Higher selling, general and administrative (SG&A) expenses could limit near-term operating leverage. SG&A increased 19% in the second quarter, driven primarily by planned advertising investments and tariff-refund-related incentive compensation. Management expects SG&A dollars to increase at a low-double-digit rate for fiscal 2026. While advertising is expected to begin leveraging as the company laps elevated spending, expense growth could remain a near-term pressure on profitability. American Eagle is showing encouraging signs, but the investment case remains dependent on whether strength at Aerie can continue to offset uneven trends at the core American Eagle brand. Aerie's strong comparable-sales growth, expanding customer base and product momentum provide a meaningful growth opportunity, while investments in digital capabilities, marketing, inventory management and supply-chain efficiency should support longer-term improvement.Further, AEO's improving sales trends, strong Aerie performance, potential for operating leverage and relatively attractive valuation support a favorable outlook. The stock trades at about 7.87X forward 12-month earnings, below the Zacks sub-industry average of 11.98X. Image Source: Zacks Investment Research Given Aerie's strong growth trajectory, improving execution at American Eagle and opportunities for margin expansion, AEO appears positioned for further upside, although investors should closely monitor the core brand's recovery and the normalization of tariff-related benefits. AEO currently carries a Zacks Rank #3 (Hold). FIGS, Inc. FIGS is an apparel company focused on the healthcare industry. Its offerings include lab coats, jackets, footwear, bags, socks and other accessories used by healthcare professionals. The company carries a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.The Zacks Consensus Estimate for FIGS’ current financial-year earnings and sales suggests growth of 89.5% and 18.2%, respectively, from the year-ago actuals. FIGS delivered a trailing four-quarter average earnings surprise of 201.8%.Boot Barn Holdings, Inc. BOOT is the largest lifestyle retailer in the United States, specializing in western and work-related footwear, apparel and accessories. The company also carries a Zacks Rank of 2 at present. The Zacks Consensus Estimate for Boot Barn’s current fiscal-year earnings and sales suggests growth of 22.6% and 15.7%, respectively, from the year-ago actuals. BOOT delivered a trailing four-quarter average earnings surprise of 11.4%.Fossil Group, Inc. FOSL is involved in designing, marketing and distributing consumer fashion accessories. It also carries a Zacks Rank of 2 at present.The Zacks Consensus Estimate for Fossil Group’s current fiscal-year earnings suggests growth of 96.7% from the year-ago actual. FOSL delivered an earnings surprise of 55.2% in the last reported quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Eagle Outfitters, Inc. (AEO) : Free Stock Analysis Report Boot Barn Holdings, Inc. (BOOT) : Free Stock Analysis Report Fossil Group, Inc. (FOSL) : Free Stock Analysis Report FIGS, Inc. (FIGS) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

American Eagle Outfitters, Inc. AEO posted second-quarter fiscal 2026 earnings of 79 cents per share, up 75.6% year over year and above the Zacks Consensus Estimate of 21 cents by 276.2%. Net revenues rose 7.5% to $1.38 billion and beat the consensus mark of $1.37 billion by 1%.The earnings beat was aided by tariff-refund benefits, while Aerie and OFFLINE momentum supported sales growth. Consolidated comparable sales increased 6%, and American Eagle showed sequential improvement from the first quarter.American Eagle’s shares have lost 8.5% in the past three months compared with the industry’s 17.3% decline. Aerie revenues increased 25% year over year to $535.8 million, while comparable sales advanced 19%. Management cited broad-based strength across channels and categories, including core apparel, intimates and activewear. OFFLINE also benefited from demand for Cloud Fleece, sports bras and bottoms.American Eagle brand revenues rose 0.7% to $805.9 million, but comparable sales declined 1%. Men's delivered its fourth consecutive quarter of positive comps. Women's fashion bottoms and newer denim fits gained traction, though the company is still rebalancing older and seasonal inventory.We had expected Aerie revenues to grow 19.4% year over year to $512.5 million, while AE revenues to dip 1% to $792.1 million. American Eagle Outfitters, Inc. price-consensus-eps-surprise-chart | American Eagle Outfitters, Inc. Quote Gross profit climbed 34.4% year over year to $672.1 million, while gross margin expanded 980 basis points to 48.7%. A net $179 million tariff-refund benefit in gross profit contributed 1,300 basis points to the margin expansion. Merchandise margins deleveraged 330 basis points, with Aerie improvement offset by American Eagle markdowns.Selling, general and administrative expenses increased 19% to $408.4 million and rose 290 basis points, as a percentage of sales, to 29.6%. The quarter included $18 million of tariff refund-related incentive compensation expense. The remaining increase primarily reflected planned advertising investments.Operating income rose 105.1% year over year to $211.4 million, while operating margin increased 730 basis points to 15.3%. The quarter included a $161 million net operating income benefit from tariff refunds. This Zacks Rank #1 (Strong Buy) company ended the quarter with $148 million in cash and cash equivalents. Total liquidity, including the revolver, was $783 million. Merchandise inventory was $817.9 million, up 13.9% year over year, while units increased 9%.Capital expenditures were $66 million in the quarter. The company also returned $21 million to shareholders through its quarterly cash dividend of 12.5 cents per share. For the fiscal third quarter, AEO expects comparable sales growth in the mid-to-high single digits. Management sees Aerie and OFFLINE comps in the high teens to 20% range, while American Eagle is expected to be approximately flat.Gross margin is projected to be roughly flat year over year, with SG&A expenses rising in the high-single digits. Operating income is forecast between $110 million and $115 million. For fiscal 2026, the company expects comparable sales to increase in the mid-single digits and gross margin to rise year over year. SG&A expenses are projected to grow in the low-double digits, while depreciation and amortization is expected to be about $215 million.Operating income is forecast between $540 million and $550 million, inclusive of tariff-refund benefits, with a weighted average share count in the low 170 million range. Capital expenditures are expected between $250 million and $260 million. FIGS, Inc. FIGS is an apparel company focused on the healthcare industry. Its offerings include lab coats, jackets, footwear, bags, socks and other accessories used by healthcare professionals. The company carries a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.The Zacks Consensus Estimate for FIGS’ current financial-year earnings and sales suggests growth of 89.5% and 18.2%, respectively, from the year-ago actuals. FIGS delivered a trailing four-quarter average earnings surprise of 201.8%.Boot Barn Holdings, Inc. BOOT is the largest lifestyle retailer in the United States, specializing in western and work-related footwear, apparel and accessories. The company also carries a Zacks Rank of 2 at present. The Zacks Consensus Estimate for Boot Barn’s current fiscal-year earnings and sales suggests growth of 22.6% and 15.7%, respectively, from the year-ago actuals. BOOT delivered a trailing four-quarter average earnings surprise of 11.4%.Fossil Group, Inc. FOSL is involved in designing, marketing and distributing consumer fashion accessories. It also carries a Zacks Rank of 2.The Zacks Consensus Estimate for Fossil Group’s current fiscal-year earnings suggests growth of 96.7% from the year-ago actuals. FOSL delivered an earnings surprise of 55.2% in the last reported quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Eagle Outfitters, Inc. (AEO) : Free Stock Analysis Report Boot Barn Holdings, Inc. (BOOT) : Free Stock Analysis Report Fossil Group, Inc. (FOSL) : Free Stock Analysis Report FIGS, Inc. (FIGS) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Victoria’s Secret & Company’s VSXY PINK grew at a high-single-digit rate, marking its fifth consecutive quarter of growth, with increasing strength across its core categories, including bras, panties and apparel. The company sees significant opportunity to build on this momentum through the back half and beyond, with PINK representing the focus of its next strategic pillar. Efforts to sharpen PINK’s identity are gaining traction, as the brand builds a clearer personality, stronger brand codes and a deeper connection with customers. The company’s renewed confidence in PINK is supported by signs of stronger customer resonance. Management said that it has a clearer understanding of what customers want from PINK: products that are comfortable, expressive and connected to meaningful moments. The approach starts with PINK’s established icons, which are being refreshed through new silhouettes, fabrics, colors and fashion. This keeps the core familiar while continuing to introduce newness and maintain customer interest. PINK is using customer insights to create new growth opportunities, with Marshmallow serving as a strong example. The product addresses demand for all-day comfort while remaining fun and fashionable. Its four new frames, with features like easy sizing, wireless support and soft fabrication, were launched digitally through a broad network of creators. The combination drove outsized results following the launch, reinforcing management’s view that bras can become an increasingly important growth engine for PINK. Apparel has also delivered eight consecutive quarters of growth, with management expecting intimates and apparel to reach an approximately 50-50 mix over time. Overall, PINK’s stronger customer resonance, progress across key product categories and continued brand development give management confidence in the opportunity ahead. With multiple product categories contributing to growth and significant runway still available, the company sees room to build further on PINK’s recent momentum. Shares of this Zacks Rank #1 (Strong Buy) company have gained 57.1% in the past three months against the industry’s decline of 9.5%. Image Source: Zacks Investment Research From a valuation standpoint, VSXY trades at a forward price-to-earnings ratio of 14.01, higher than the industry’s average of 12.73. Image Source: Zacks Investment Research The Zacks Consensus Estimate for VSXY’s current and next fiscal year earnings implies a year-over-year rise of 57.3% and 23.8%, respectively. Image Source: Zacks Investment Research Some other top-ranked stocks have been discussed below: FIGS, Inc. FIGS operates as a direct-to-consumer healthcare apparel and lifestyle company in the United States and internationally. At present, FIGS carries a Zacks Rank of 2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here. The Zacks Consensus Estimate for FIGS’s current fiscal-year sales and earnings implies growth of 18.2% and 89.5%, respectively, from the year-ago figures. FIGS has delivered a trailing four-quarter earnings surprise of 201.8%, on average.Fossil Group, Inc. FOSL designs, develops, markets, and distributes consumer fashion accessories in the United States, Europe, Asia, and internationally. At present, FOSL carries a Zacks Rank of 2. The Zacks Consensus Estimate for FOSL’s current fiscal-year sales indicates a decline of 4%, while the same for earnings indicates growth of 96.7% from the year-ago figures. FOSL delivered a trailing four-quarter negative earnings surprise of 236.2%, on average. Boot Barn Holdings, Inc. BOOT operates specialty retail stores in the United States and internationally. At present, Boot Barn carries a Zacks Rank of 2.The consensus estimate for Boot Barn’s current fiscal-year sales and earnings implies growth of 15.7% and 22.6%, respectively, from the year-ago figures. BOOT delivered a trailing four-quarter earnings surprise of 11.4%, on average. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Victoria's Secret & Co. (VSXY) : Free Stock Analysis Report Boot Barn Holdings, Inc. (BOOT) : Free Stock Analysis Report Fossil Group, Inc. (FOSL) : Free Stock Analysis Report FIGS, Inc. (FIGS) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research