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Shares of L Brands, Inc. surged to attain a new 52-week high of $62.14 on Oct 4, 2013, before closing at $62.08. Shares of this Zacks Rank #2 (Buy) stock have amassed a year-to-date return of roughly 33.3%.

Based on the current price, this specialty retailer of women’s intimate and other apparel, beauty and personal care products is 6.4% above the Zacks Consensus average analyst price target of $58.35. The company currently trades at a forward P/E of 19.39x, a premium of 22% to the peer group average of 15.89x. Additionally, the company’s long-term estimated EPS growth rate is 12.3%.

We believe that L Brands’ sustained focus on cost containment, inventory management, merchandise, and speed-to-market initiatives has kept it afloat in a sluggish consumer environment. The company’s foray into international markets is likely to provide long-term growth opportunities as these stores continue to perform better than the U.S. stores.

L Brands commands a market leading position in the lingerie, personal care and beauty segments. We believe that the company’s innovation in merchandise and exclusive assortments remains popular among consumers and sets it apart from its peers.

L Brands continues to revamp its business by improving store experience, localizing assortments and enhancing its direct business. We believe these measures facilitate it to generate incremental sales and increase store transactions through a higher conversion rate.

The company is repositioning its La Senza brand by focusing on the younger generation and providing fashionable assortments at a reasonable price. Moreover, to drive growth, it remains focused on adding the entire PINK and lingerie assortments at its Victoria’s Secret stores and seeks to expand in the adjacent categories.

Apart from Time Warner, other stocks such as Constellation Brands Inc. (STZ - Analyst Report), Nu Skin Enterprises Inc. (NUS - Snapshot Report) and United Rentals, Inc. (URI - Snapshot Report) achieved new 52-week highs of $62.15, $100.00 and $60.93, respectively, on Oct 4, 2013.

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