L Brands closed at $68.79 in the latest trading session, marking a +2.23% move from the prior day. This change outpaced the S&P 500's 1.04% loss on the day.
Prior to today's trading, shares of the owner of Victoria's Secret, Bath & Body Works and other chain stores had gained 3.21% over the past month. This has outpaced the Retail-Wholesale sector's gain of 1.76% and lagged the S&P 500's gain of 3.83% in that time.
Investors will be hoping for strength from LB as it approaches its next earnings release, which is expected to be May 19, 2021. The company is expected to report EPS of $0.98, up 198.99% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.9 billion, up 75.34% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $4.89 per share and revenue of $13.73 billion, which would represent changes of +41.33% and +15.87%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for LB. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 1.24% higher within the past month. LB currently has a Zacks Rank of #2 (Buy).
Valuation is also important, so investors should note that LB has a Forward P/E ratio of 13.76 right now. Its industry sports an average Forward P/E of 24.81, so we one might conclude that LB is trading at a discount comparatively.
Meanwhile, LB's PEG ratio is currently 1.06. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Retail - Apparel and Shoes was holding an average PEG ratio of 2.58 at yesterday's closing price.
The Retail - Apparel and Shoes industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 84, putting it in the top 34% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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L Brands (LB) Gains As Market Dips: What You Should Know
L Brands closed at $68.79 in the latest trading session, marking a +2.23% move from the prior day. This change outpaced the S&P 500's 1.04% loss on the day.
Prior to today's trading, shares of the owner of Victoria's Secret, Bath & Body Works and other chain stores had gained 3.21% over the past month. This has outpaced the Retail-Wholesale sector's gain of 1.76% and lagged the S&P 500's gain of 3.83% in that time.
Investors will be hoping for strength from LB as it approaches its next earnings release, which is expected to be May 19, 2021. The company is expected to report EPS of $0.98, up 198.99% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.9 billion, up 75.34% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $4.89 per share and revenue of $13.73 billion, which would represent changes of +41.33% and +15.87%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for LB. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 1.24% higher within the past month. LB currently has a Zacks Rank of #2 (Buy).
Valuation is also important, so investors should note that LB has a Forward P/E ratio of 13.76 right now. Its industry sports an average Forward P/E of 24.81, so we one might conclude that LB is trading at a discount comparatively.
Meanwhile, LB's PEG ratio is currently 1.06. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Retail - Apparel and Shoes was holding an average PEG ratio of 2.58 at yesterday's closing price.
The Retail - Apparel and Shoes industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 84, putting it in the top 34% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.