Top Performer for Thurs: J. Crew (JCG)

Shares of J. Crew Group, Inc. (JCG) have gained by double digits this morning after the clothing company raised its outlooks on the fiscal third and fiscal fourth quarters.

JCG is up approximately 12% Thursday, making it a top-performing Zacks #1 Rank company. Similarly, volume has spiked higher to more than 4 million shares, compared to the daily average of 1.13 million.

JCG is of 5 companies from the Retail-Apparel/Shoe industry on today's Zacks #1 Rank List, which includes 222 stocks in total. The other 4 names are Jos. A. Bank Clothiers, Inc. (JOSB - Snapshot Report), Limited Brands, Inc. (LTD - Analyst Report), The Men's Wearhouse, Inc. (MW - Snapshot Report) and Nordstrom, Inc. (JWN - Analyst Report).

Nice Outlook

Thanks to strong sales and margin trends in the fiscal third quarter, J. Crew Group now expects earnings per share between 54 cents and 59 cents. Previously, the company had been expecting 30 cents to 33 cents. At the moment, the Zacks Consensus Estimate is at 36 cents for the quarter.

Meanwhile, the fiscal fourth quarter also got some attention as JCG said it anticipates same-store sales in the mid-to-high single digit range. That's an improvement from the prior outlook for a low single digit increase in same-store sales. (Of course, this guidance is based on the expectation that current trends will continue.)

The fiscal third quarter will be officially announced on Nov 23.

Earnings Estimates

Earnings estimates were moving in the right direction even before today's announcement, and are likely poised for further upside.

At the moment, the Zacks Consensus Estimate for the fiscal year ending January 2010 is $1.25 per share, which is up 26% from 99 cents over the past 2 months.

The Zacks Consensus Estimate for next year is $1.55 per share, or approximately 24% better than the guidance for this fiscal year. That outlook has gained by 23% in 2 months from $1.26.

Fiscal Second Quarter

Over the past 4 quarters, J. Crew Group has put together an average profit surprise of right around 84%.

Most recently on Aug 27, the company announced earnings per share of 29 cents, which beat the Zacks Consensus Estimate by more than 93%. In the previous-year quarter, JCG announced 28 cents.

Revenues advanced 6% to $357.6 million.

Read the full analyst report on MW

Read the full analyst report on JWN

Read the full analyst report on LTD

Read the full analyst report on JOSB

Read the full analyst report on JCG