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We have maintained our long-term Outperform recommendation on Cabela's Inc. (CAB - Analyst Report) with a target price of $74.00. Moreover, the stock carries a Zacks Rank #2 (Buy).

Why the Reiteration?

We believe that Cabela’s remains on track to continue with its upbeat performance and offers its investors one of the strongest growth profiles owing to its sturdy balance sheet, feasible strategy and operating efficiencies.

This is evident from its recently concluded quarter. Cabela’s posted first-quarter 2013 earnings of 70 cents per share that handily surpassed the Zacks Consensus Estimate and surged 75% year over year. Total revenue jumped 28.7% to $802.5 million and also came ahead of the Zacks Consensus Estimate.

Following the company’s sturdy performance earnings estimate revisions for Cabela’s have been portraying an uptrend. In the last 60 days, the Zacks Consensus Estimate rose 5.6% to $3.42 per share for 2013, while it increased 5.8% to $3.84 for 2014.

Going forward, we remain optimistic about its next generation store format as it requires less capital investment, enhances store productivity, and helps increase sales per square foot. The company remains on track to accelerate its store growth plans and expects to open 6 domestic next-generation stores and 1 Canadian next-generation store in 2013.

The next-generation stores are outperforming the company’s legacy stores in terms of both sales and profit per square foot.

Other Stocks to Consider

Besides Cabela’s, the other well-performing stock in the non-food retail, wholesale sector includes Big 5 Sporting Goods Corp. (BGFV - Analyst Report), which carries a Zacks Rank #1 (Strong Buy). The Gap Inc. (GPS - Analyst Report) and Foot Locker, Inc (FL - Snapshot Report), carrying a Zacks Rank #2 (Buy) are also worth considering.

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