Buckle (BKE) Gains But Lags Market: What You Should Know

In the latest trading session, Buckle (BKE) closed at $29.85, marking a +0.37% move from the previous day. This move lagged the S&P 500's daily gain of 1.21%. At the same time, the Dow added 1.03%, and the tech-heavy Nasdaq gained 0.14%.

Coming into today, shares of the teen clothing retailer had gained 4.46% in the past month. In that same time, the Retail-Wholesale sector gained 2.38%, while the S&P 500 gained 3.2%.

Investors will be hoping for strength from Buckle as it approaches its next earnings release, which is expected to be August 19, 2022. In that report, analysts expect Buckle to post earnings of $0.93 per share. This would mark a year-over-year decline of 10.58%. Meanwhile, our latest consensus estimate is calling for revenue of $299.7 million, up 1.55% from the prior-year quarter.

BKE's full-year Zacks Consensus Estimates are calling for earnings of $5.27 per share and revenue of $1.38 billion. These results would represent year-over-year changes of +2.13% and +6.46%, respectively.

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

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

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. Within the past 30 days, our consensus EPS projection remained stagnant. Buckle is currently sporting a Zacks Rank of #3 (Hold).

Valuation is also important, so investors should note that Buckle has a Forward P/E ratio of 5.64 right now. Its industry sports an average Forward P/E of 9.42, so we one might conclude that Buckle is trading at a discount comparatively.

The Retail - Apparel and Shoes industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 166, putting it in the bottom 35% 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.

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

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