Back to top

Image: Bigstock

Boot Barn (BOOT) Outpaces Stock Market Gains: What You Should Know

Read MoreHide Full Article

Boot Barn (BOOT - Free Report) closed the most recent trading day at $29.58, moving +0.85% from the previous trading session. This change outpaced the S&P 500's 0.47% gain on the day. At the same time, the Dow added 0.31%, and the tech-heavy Nasdaq gained 0.34%.

Coming into today, shares of the Western apparel and footwear retailer had gained 0.03% in the past month. In that same time, the Retail-Wholesale sector gained 5.21%, while the S&P 500 gained 4.67%.

Wall Street will be looking for positivity from BOOT as it approaches its next earnings report date. On that day, BOOT is projected to report earnings of $0.27 per share, which would represent year-over-year growth of 58.82%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $188.89 million, up 10.61% from the year-ago period.

It is also important to note the recent changes to analyst estimates for BOOT. These recent revisions tend to reflect the evolving nature of short-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. 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. Over the past month, the Zacks Consensus EPS estimate remained stagnant. BOOT currently has a Zacks Rank of #2 (Buy).

Investors should also note BOOT's current valuation metrics, including its Forward P/E ratio of 19.41. Its industry sports an average Forward P/E of 14.05, so we one might conclude that BOOT is trading at a premium comparatively.

Also, we should mention that BOOT has a PEG ratio of 0.94. 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. BOOT's industry had an average PEG ratio of 1.31 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 97, putting it in the top 39% 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.


In-Depth Zacks Research for the Tickers Above


Normally $25 each - click below to receive one report FREE:


Boot Barn Holdings, Inc. (BOOT) - free report >>

Published in