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Tilly's (TLYS) Outpaces Stock Market Gains: What You Should Know

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Tilly's (TLYS - Free Report) closed the most recent trading day at $9.14, moving +0.88% from the previous trading session. This move outpaced the S&P 500's daily gain of 0.8%. At the same time, the Dow added 0.47%, and the tech-heavy Nasdaq gained 1.12%.

Prior to today's trading, shares of the clothing and accessories retailer had lost 10.56% over the past month. This has lagged the Retail-Wholesale sector's loss of 2.54% and the S&P 500's loss of 1.07% in that time.

TLYS will be looking to display strength as it nears its next earnings release. On that day, TLYS is projected to report earnings of $0.21 per share, which would represent a year-over-year decline of 12.5%. Meanwhile, our latest consensus estimate is calling for revenue of $154.67 million, up 5.34% from the prior-year quarter.

TLYS's full-year Zacks Consensus Estimates are calling for earnings of $0.83 per share and revenue of $625.01 million. These results would represent year-over-year changes of +3.75% and +4.43%, respectively.

Investors should also note any recent changes to analyst estimates for TLYS. 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.

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. The Zacks Consensus EPS estimate remained stagnant within the past month. TLYS is holding a Zacks Rank of #1 (Strong Buy) right now.

Looking at its valuation, TLYS is holding a Forward P/E ratio of 10.88. For comparison, its industry has an average Forward P/E of 11.06, which means TLYS is trading at a discount to the group.

Investors should also note that TLYS has a PEG ratio of 0.99 right now. 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. Retail - Apparel and Shoes stocks are, on average, holding a PEG ratio of 1.27 based on yesterday's closing prices.

The Retail - Apparel and Shoes industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 51, putting it in the top 20% 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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