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Can Boot Barn Reach Its Long-Term Target of 1,200 U.S. Stores?
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Key Takeaways
Boot Barn opened 27 stores in Q1, bringing its footprint to 566 locations across 49 states.
BOOT plans to add 70 stores in fiscal 2027, targeting 12%-15% store growth.
Every location generates positive 4-wall EBITDA, supporting continued store expansion.
Boot Barn Holdings, Inc. (BOOT - Free Report) continues to expand its store footprint, with new store openings continuing to exceed expectations, supporting its ongoing store expansion efforts. The company opened 27 new stores in the first quarter of fiscal 2027, bringing its footprint to 566 locations across 49 states. Management said that the pace of new-store openings has continued to outperform expectations, reinforcing the company’s plans to expand its retail presence.
The company expects a typical new store to generate about $3.2 million in annual revenue, with the investment expected to be recovered in less than two years. BOOT also remains on track to add 70 stores during fiscal 2027, with its existing pipeline supporting the planned expansion. The combination of new-store productivity and relatively short payback periods provides support for continued investment in the store base.
Store-level profitability also remains intact, with every location generating positive 4-wall EBITDA. Although the addition of new stores can place some pressure on occupancy rates, management noted that these locations are still contributing earnings to the bottom line. This indicates that the recently added stores are generating positive earnings while the company continues to expand its footprint.
Over the past 12 months, Boot Barn has added 93 stores, resulting in a 20% increase in its store count. Despite the strong pace of expansion, management continues to prioritize the quality of individual locations rather than opening stores that do not meet its standards. The company is targeting 12% to 15% store growth and remains encouraged by the pipeline for the remainder of the year. Overall, Boot Barn remains well positioned to expand its brand nationwide, with a long-term opportunity to build a network of 1,200 stores across the United States.
Zacks Rundown for BOOT
Boot Barn’s shares have gained 14.1% in the past three months compared with the industry’s growth of 16.2%. BOOT presently carries a Zacks Rank #2 (Buy).
Image Source: Zacks Investment Research
From a valuation standpoint, Boot Barn trades at a forward price-to-earnings ratio of 17.51, higher than the industry’s average of 15.28.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for BOOT’s current and next fiscal-year earnings implies year-over-year rallies of 22.6% and 10.5%, respectively.
Image Source: Zacks Investment Research
Other Stocks to Consider
Some other top-ranked stocks have been discussed below:
The Zacks Consensus Estimate for URBN’s current fiscal-year sales and earnings implies growth of 8.8% and 12.7%, respectively, from the year-ago figures. URBN has delivered a trailing four-quarter earnings surprise of 12.2%, on average.
Victoria’s Secret & Co. (VSXY - Free Report) operates as a specialty retailer of women's intimate apparel and other apparel and beauty products worldwide. At present, VSXY carries a Zacks Rank of 2.
The Zacks Consensus Estimate for VSXY’s current fiscal-year sales and earnings implies growth of 9.1% and 55.7%, respectively, from the year-ago figures. VSXY has delivered a trailing four-quarter earnings surprise of 81.9%, on average.
Gap, Inc. (GAP - Free Report) operates as an apparel retail company in the United States, Canada, Japan, Taiwan, and internationally. At present, GAP carries a Zacks Rank of 2.
The Zacks Consensus Estimate for GAP’s current fiscal-year sales and earnings implies growth of 1.1% and 9.9%, respectively, from the year-ago figures. GAP has delivered a trailing four-quarter earnings surprise of 2%, on average.
View the Zacks #1 Rank List
Image: Shutterstock
Can Boot Barn Reach Its Long-Term Target of 1,200 U.S. Stores?
Key Takeaways
Boot Barn Holdings, Inc. (BOOT - Free Report) continues to expand its store footprint, with new store openings continuing to exceed expectations, supporting its ongoing store expansion efforts. The company opened 27 new stores in the first quarter of fiscal 2027, bringing its footprint to 566 locations across 49 states. Management said that the pace of new-store openings has continued to outperform expectations, reinforcing the company’s plans to expand its retail presence.
The company expects a typical new store to generate about $3.2 million in annual revenue, with the investment expected to be recovered in less than two years. BOOT also remains on track to add 70 stores during fiscal 2027, with its existing pipeline supporting the planned expansion. The combination of new-store productivity and relatively short payback periods provides support for continued investment in the store base.
Store-level profitability also remains intact, with every location generating positive 4-wall EBITDA. Although the addition of new stores can place some pressure on occupancy rates, management noted that these locations are still contributing earnings to the bottom line. This indicates that the recently added stores are generating positive earnings while the company continues to expand its footprint.
Over the past 12 months, Boot Barn has added 93 stores, resulting in a 20% increase in its store count. Despite the strong pace of expansion, management continues to prioritize the quality of individual locations rather than opening stores that do not meet its standards. The company is targeting 12% to 15% store growth and remains encouraged by the pipeline for the remainder of the year. Overall, Boot Barn remains well positioned to expand its brand nationwide, with a long-term opportunity to build a network of 1,200 stores across the United States.
Zacks Rundown for BOOT
Boot Barn’s shares have gained 14.1% in the past three months compared with the industry’s growth of 16.2%. BOOT presently carries a Zacks Rank #2 (Buy).
Image Source: Zacks Investment Research
From a valuation standpoint, Boot Barn trades at a forward price-to-earnings ratio of 17.51, higher than the industry’s average of 15.28.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for BOOT’s current and next fiscal-year earnings implies year-over-year rallies of 22.6% and 10.5%, respectively.
Image Source: Zacks Investment Research
Other Stocks to Consider
Some other top-ranked stocks have been discussed below:
Urban Outfitters, Inc. (URBN - Free Report) offers lifestyle products and services in the United States and internationally. At present, URBN carries a Zacks Rank of 2. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The Zacks Consensus Estimate for URBN’s current fiscal-year sales and earnings implies growth of 8.8% and 12.7%, respectively, from the year-ago figures. URBN has delivered a trailing four-quarter earnings surprise of 12.2%, on average.
Victoria’s Secret & Co. (VSXY - Free Report) operates as a specialty retailer of women's intimate apparel and other apparel and beauty products worldwide. At present, VSXY carries a Zacks Rank of 2.
The Zacks Consensus Estimate for VSXY’s current fiscal-year sales and earnings implies growth of 9.1% and 55.7%, respectively, from the year-ago figures. VSXY has delivered a trailing four-quarter earnings surprise of 81.9%, on average.
Gap, Inc. (GAP - Free Report) operates as an apparel retail company in the United States, Canada, Japan, Taiwan, and internationally. At present, GAP carries a Zacks Rank of 2.
The Zacks Consensus Estimate for GAP’s current fiscal-year sales and earnings implies growth of 1.1% and 9.9%, respectively, from the year-ago figures. GAP has delivered a trailing four-quarter earnings surprise of 2%, on average.