Back to top

Image: Bigstock

XCel Brands (XELB) Dips More Than Broader Markets: What You Should Know

Read MoreHide Full Article

XCel Brands (XELB - Free Report) closed the most recent trading day at $1.98, moving -1% from the previous trading session. This move lagged the S&P 500's daily loss of 0.49%. At the same time, the Dow lost 0.59%, and the tech-heavy Nasdaq lost 0.8%.

Prior to today's trading, shares of the brand management company had gained 11.11% over the past month. This has outpaced the Retail-Wholesale sector's gain of 3.2% and the S&P 500's gain of 3% in that time.

XELB will be looking to display strength as it nears its next earnings release. In that report, analysts expect XELB to post earnings of $0.12 per share. This would mark year-over-year growth of 33.33%. Our most recent consensus estimate is calling for quarterly revenue of $11.20 million, up 35.43% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $0.39 per share and revenue of $45.10 million, which would represent changes of +30% and +27.99%, respectively, from the prior year.

Investors should also note any recent changes to analyst estimates for XELB. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. XELB currently has a Zacks Rank of #3 (Hold).

Looking at its valuation, XELB is holding a Forward P/E ratio of 5.13. For comparison, its industry has an average Forward P/E of 10.85, which means XELB is trading at a discount to the group.

The Retail - Apparel and Shoes industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 60, which puts it in the top 24% 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.

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


See More Zacks Research for These Tickers


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


Xcel Brands, Inc (XELB) - free report >>

Published in