Zumiez's Comps Growth Story Continues, Q4 Earnings View Up
Zacks Investment Research | Feb 10, 2019 09:42PM ET
Zumiez Inc. (NASDAQ:ZUMZ) decent comparable-store sales (comps) trend is commendable. After delivering positive comps last year, the company commenced 2019 with the same momentum. Zumiez reported a 3.5% comps growth for the four-week period (ended Feb 2, 2019) compared with 6.3% growth witnessed in the five weeks (ended Feb 3, 2018).
However, total net sales for January decreased 18.3% to $53.9 million from $66 million in the year-ago period. Prior to this, net sales grew a respective 2.9%, 9.4% and 0.6% in December, November and October last year.
Apart from monthly comps, the company came out with comps results for the fourth quarter of fiscal 2018. Comps grew 3.9% in the quarter, up from the company’s forecast of 3% growth. This marked its 10th straight quarter of positive comps. Certainly, Zumiez’s differentiated product offerings, seamless multi-channel shopping experience and superior customer service positions it well. In the third, second and first quarters of fiscal 2018, this specialty retailer of apparel, footwear and accessories delivered comps growth of 4.8%, 6.3% and 7.5%, respectively.
Better-than-anticipated sales prompted management to raise its earnings projection for the fourth quarter. Management now expects earnings per share in the range of $1.10-$1.12 compared with $1.08-$1.10 guided earlier. Furthermore, the Zacks Consensus Estimate for earnings is pegged at $1.11, in line with the company’s upbeat view.
In the past three months, this Zacks Rank #1 (Strong Buy) stock has gained approximately 10% against the Zacks Investment Research
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.