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Burlington Stores (BURL) Stock Moves -0.56%: What You Should Know

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Burlington Stores (BURL - Free Report) ended the recent trading session at $179.91, demonstrating a -0.56% swing from the preceding day's closing price. The stock's performance was ahead of the S&P 500's daily loss of 0.58%. Meanwhile, the Dow lost 0.12%, and the Nasdaq, a tech-heavy index, lost 1.15%.

The discount retailer's shares have seen a decrease of 19.44% over the last month, not keeping up with the Retail-Wholesale sector's loss of 1.51% and the S&P 500's loss of 1.09%.

The upcoming earnings release of Burlington Stores will be of great interest to investors. The company's earnings per share (EPS) are projected to be $1.06, reflecting a 26.19% increase from the same quarter last year. Meanwhile, our latest consensus estimate is calling for revenue of $2.35 billion, up 10.18% from the prior-year quarter.

In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $7.41 per share and a revenue of $10.72 billion, indicating changes of +22.28% and +10.19%, respectively, from the former year.

Any recent changes to analyst estimates for Burlington Stores should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.

The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.14% increase. At present, Burlington Stores boasts a Zacks Rank of #1 (Strong Buy).

Looking at valuation, Burlington Stores is presently trading at a Forward P/E ratio of 24.4. For comparison, its industry has an average Forward P/E of 21.33, which means Burlington Stores is trading at a premium to the group.

Investors should also note that BURL has a PEG ratio of 1.05 right now. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Retail - Discount Stores was holding an average PEG ratio of 1.91 at yesterday's closing price.

The Retail - Discount Stores industry is part of the Retail-Wholesale sector. This industry, currently bearing a Zacks Industry Rank of 49, finds itself in the top 20% echelons of all 250+ industries.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.


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