Dress Barn, Inc. (DBRN: 24.40 +0.27 +1.12%), a women’s specialty retailer with a Zacks #1 Rank (’strong buy’), announced better-than-expected fiscal second-quarter sales last week.
The company was last featured as a Value Stock of the Day in late September, shortly after its fiscal fourth quarter report. Presently, it is scheduled to report its fiscal second quarter performance early next month, and has put together 3 consecutive quarters with positive earnings surprises.
Earnings estimates for this fiscal year and next fiscal year have each improved a bit over the past 7 days in reaction to the solid sales totals. It is trading with a forward P/E of 15.96 and has a Price/Book ratio of 2.23.
Dress Barn is a leading national specialty apparel retailer offering quality casual and career women’s fashion apparel at value prices through its dressbarn and maurices brands and tween girls’ fashion apparel through its Justice brand.
Solid Sales in FQ2
On Feb 4, Dress Barn announced that consolidated same-store sales advanced 10% in the fiscal second quarter. Meanwhile, net sales for the quarter were up 73.1%, thanks to the inclusion of Justice sales and increased same-store sales at dressbarn and maurices. (Justice was acquired in late November.)
The company will not report its fiscal second-quarter numbers until March, but the Zacks Consensus Estimate of 25 cents has advanced by 2 cents, or more than 8%, in 7 days.
In its fiscal first quarter, Dress Barn earned 37 cents per share, which surpassed the year-ago result while also beating the Zacks Consensus Estimate by more than 12%.
Earnings Estimates for Dress Barn
There has been some improvement to earnings estimates in the past 7 days. The Zacks Consensus Estimate for the fiscal year ending July 2010 is $1.52, which is up 3.4% in the past week as 2 of 4 covering analysts revised higher. That guidance has improved by more than 15% in 2 months.
Meanwhile, the Zacks Consensus Estimate for next year is now $2, up 1.5% in 7 days and about 44% in 2 months. Just like this fiscal year, there have been 2 upward revisions out of 4 in the past 7 days. Furthermore, this guidance suggests year-over-year profit growth of nearly 32%.
It should be noted that Dress Barn raised its fiscal year 2010 guidance on Jan 11 due to a better-than-expected holiday season. The outlook was raised to between $1.40 and $1.50, compared to the previous guidance of $1.35 to $1.45.
Update to Previous Value Zacks Rank Buy Stocks
World Acceptance Corporation (WRLD: 40.29 +0.86 +2.18%) recently reported a record fiscal third quarter as loan volumes rose. The stock is cheap. WRLD trades at just 8.6x forward earnings. Read the full article.
Reliance Steel & Aluminum Company (RS: 44.04 +1.23 +2.87%) recently provided a fourth-quarter earnings guidance that was much higher than the Zacks Consensus Estimate. Is this a sign that the global recovery is taking hold? Read the full article.
Tyson Foods Inc. (TSN: 16.44 +0.40 +2.49%) recently surprised on estimates for the third straight quarter, which pushed the stock up to a new 52-week high. Despite the stock surge, TSN still has attractive valuations. It is trading with a forward P/E of 14.9. Read the full article.
Jo-Ann Stores Inc. (JAS: 36.49 -0.01 -0.03%) recently reported preliminary fourth-quarter earnings, which were 34% higher than the Zacks Consensus Estimate. JAS has surprised on estimates in 3 out of the last 4 quarters by an average of 59.47%. Read the full article.
Posts
0 comments:
Post a Comment