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Academy Sports and Outdoors, Inc. (ASO) Gains As Market Dips: What You Should Know

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Academy Sports and Outdoors, Inc. (ASO - Free Report) closed the most recent trading day at $43.86, moving +1.93% from the previous trading session. This move outpaced the S&P 500's daily loss of 0.28%. At the same time, the Dow lost 0.14%, and the tech-heavy Nasdaq lost 0.01%.

Prior to today's trading, shares of the company had gained 22.98% over the past month. This has outpaced the Consumer Discretionary sector's gain of 5.98% and the S&P 500's gain of 8.35% in that time.

Investors will be hoping for strength from Academy Sports and Outdoors, Inc. as it approaches its next earnings release. On that day, Academy Sports and Outdoors, Inc. is projected to report earnings of $2.12 per share, which would represent a year-over-year decline of 9.4%. Our most recent consensus estimate is calling for quarterly revenue of $1.71 billion, down 4.5% from the year-ago period.

ASO's full-year Zacks Consensus Estimates are calling for earnings of $7.03 per share and revenue of $6.6 billion. These results would represent year-over-year changes of -7.5% and -2.62%, respectively.

Investors might also notice recent changes to analyst estimates for Academy Sports and Outdoors, Inc.These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.14% lower. Academy Sports and Outdoors, Inc. is currently sporting a Zacks Rank of #3 (Hold).

Looking at its valuation, Academy Sports and Outdoors, Inc. is holding a Forward P/E ratio of 6.12. This represents a discount compared to its industry's average Forward P/E of 8.54.

It is also worth noting that ASO currently has a PEG ratio of 0.66. 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. Leisure and Recreation Products stocks are, on average, holding a PEG ratio of 1.07 based on yesterday's closing prices.

The Leisure and Recreation Products industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 148, putting it in the bottom 42% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our 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.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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