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Things You Need to Know Before Buckle's (BKE) Q3 Earnings

Zacks Equity Research

The Buckle, Inc. BKE is scheduled to report third-quarter fiscal 2019 numbers on Nov 22, before the market open. We note that the company’s bottom line has outperformed the Zacks Consensus Estimate in two of the last four quarters. In the last reported quarter, the company delivered a positive earnings surprise of 6.3%.

The Zacks Consensus Estimate for third-quarter earnings has moved north by 6.8% over the past 30 days to 47 cents. This suggests a rise of 11.9% from the year-ago quarter’s reported figure.

For revenues, the consensus mark is pegged at $224.1 million, indicating an increase of 4.2% from the figure reported in the year-ago quarter.

Buckle, Inc. (The) Price, Consensus and EPS Surprise

 

Buckle, Inc. (The) Price, Consensus and EPS Surprise

Buckle, Inc. (The) price-consensus-eps-surprise-chart | Buckle, Inc. (The) Quote

Key Things to Note

Buckle’s comparable store sales (comps) witnessed an improvement in the third quarter. The company recently came out with its third-quarter sales number, wherein comps grew 4.7%. Net sales for the quarter also increased 4.2% to $224.1 million from the year-ago quarter’s $215.1 million. This marks the company’s second straight quarter of increase in sales and comps. Notably, comps have shown improvement in all the three months of the quarter — 8.5% in October, 3% in September and 3.1% in August.

Also, the company has been progressing well with both its men’s and women’s category. Buckle has been witnessing growth in online sales for a while now. Apart from these, it has been focusing on enhancing marketing efficiency, store remodeling and technology upgrades. However, any deleverage in SG&A rate and increased buying, distribution, and occupancy costs are concerns.

Zacks Model

Our proven model does not conclusively predict an earnings beat for Buckle this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Buckle sports a Zacks Rank #1 but has an Earnings ESP of 0.00%.

Stocks Poised to Beat Earnings Estimates

Here are a few companies you may want to consider, as our model shows that these have the right combination to post an earnings beat:

Dollar General DG has an Earnings ESP of +2.34% and a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.

Burlington Stores BURL has an Earnings ESP of +2.75% and a Zacks Rank #2.

Tiffany & Co. TIF has an Earnings ESP of +3.49% and a Zacks Rank #3.

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Buckle, Inc. (The) (BKE) : Free Stock Analysis Report
 
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Burlington Stores, Inc. (BURL) : Free Stock Analysis Report
 
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