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Hibbett Sports (HIBB) Gains As Market Dips: What You Should Know

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Hibbett Sports (HIBB - Free Report) closed at $90.11 in the latest trading session, marking a +0.54% move from the prior day. The stock outpaced the S&P 500's daily loss of 0.02%.

Coming into today, shares of the sporting goods retailer had gained 5.16% in the past month. In that same time, the Retail-Wholesale sector lost 2.34%, while the S&P 500 gained 2.91%.

HIBB will be looking to display strength as it nears its next earnings release. In that report, analysts expect HIBB to post earnings of $1.24 per share. This would mark a year-over-year decline of 57.97%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $331.2 million, down 25% from the year-ago period.

HIBB's full-year Zacks Consensus Estimates are calling for earnings of $8.95 per share and revenue of $1.57 billion. These results would represent year-over-year changes of +46.24% and +10.39%, respectively.

Any recent changes to analyst estimates for HIBB should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, 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. Over the past month, the Zacks Consensus EPS estimate has moved 5.29% higher. HIBB is currently sporting a Zacks Rank of #1 (Strong Buy).

In terms of valuation, HIBB is currently trading at a Forward P/E ratio of 10.02. This represents a discount compared to its industry's average Forward P/E of 16.75.

Meanwhile, HIBB's PEG ratio is currently 0.57. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Retail - Apparel and Shoes industry currently had an average PEG ratio of 1.18 as of yesterday's close.

The Retail - Apparel and Shoes industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 27, putting it in the top 11% 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.

You can find more information on all of these metrics, and much more, on Zacks.com.


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