The Zacks Analyst Blog Highlights: American Eagle Outfitters, Buckle, Boot Barn Holdings And Burberry Group

For Immediate Release

Chicago, IL – May 18, 2016 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include American Eagle Outfitters (NYSE:AEO), Inc. (AEO), Buckle, Inc. (BKE), Boot Barn Holdings, Inc. (BOOT) and Burberry Group (LON:BRBY) plc (BURBY).

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Here are highlights from Tuesday’s Analyst Blog:

Footwear Stocks Earnings This Week: AEO, BKE, BOOT, BURBY

While the first quarter earnings season is almost over for the other sectors, there are still a few companies in the retail sector that are yet to report. As a result, investors are on the lookout for companies in the retail sector that can beat their respective earnings estimates.

While a significant number of companies in the retail sector have come out with positive surprises, in terms of both earnings and revenues, a few companies in the departmental store space and apparel category have posted disappointing results due to macroeconomic issues and declining demand as a result of shifting consumer preferences.

If we summarize the performance of nearly 55.8% S&P 500 members that have reported financial results from the Retail sector so far, we will see that 75% beat on earnings and 50% surpassed revenue estimates, as per our Earnings Preview report. Additionally, the blended beat, which is the percentage of companies beating both earnings per share and revenue estimates, is 45.8% for the sector. Total earnings for these companies were up 3.2% year over year while revenues grew 9.7%.

Footwear stocks had a good start to 2016. The growing demand for brands as well as greater sales internationally has boosted profits at most of these shoe companies, despite issues like rising competition and changing consumer preferences.

Here we have four footwear/apparel stocks, which are scheduled to release their first-quarter numbers this week. Let's see how things are shaping up for this announcement.

American Eagle Outfitters, Inc. (AEO), a retailer of apparel and accessories, is scheduled to report first-quarter fiscal 2016 on May 18. It has an Earnings ESP of 0.00% and a Zacks Rank #4 (Sell). The Zacks Consensus Estimate for first quarter earnings is pegged at 18 cents. Additionally, the company has delivered an average positive earnings surprise of 15.8% in the trailing four quarters.

While the company’s attempt to grow globally is likely to help it in augmenting business and meeting global demand, it will also expose it to adverse currency movements and other international risks. (Read: American Eagle: Will it Disappoint in Q1 Earnings? ).

The Buckle, Inc. (BKE) is slated to release first-quarter fiscal 2016 results on May 20. It has an ESP of 0.00% and a Zacks Rank #4. The Zacks Consensus Estimate for first quarter earnings is pegged at 55 cents. This retailer of casual apparel, footwear and accessories has missed the Zacks Consensus Estimate by an average of 0.22% in the trailing four quarters. (Read: Buckle Q1 Earnings: What's in Store for the Stock? ).

Boot Barn Holdings, Inc. (BOOT), a lifestyle retail company, will report its fourth quarter fiscal 2016 on May 18. It has an ESP of 0.00% and a Zacks Rank #3 (Hold). The Zacks Consensus Estimate for the quarter is pegged at 12 cents. Additionally, the company delivered an average positive earnings surprise of 8.26% in the trailing four quarters.

UK-based maker of luxury clothing and non-apparel accessories, Burberry Group plc (BURBY), holding a Zacks Rank #5 (Strong Sell) and an ESP of 0.00%, is scheduled to report its earnings on May 19.

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