Core Insights - Savers Value Village (SVV) reported revenue of $426.94 million for the quarter ended September 2025, marking an 8.1% year-over-year increase and a slight surprise of +0.09% over the Zacks Consensus Estimate of $426.55 million [1] - The earnings per share (EPS) for the same period was $0.14, which is a decrease from $0.15 a year ago, aligning with the consensus EPS estimate [1] Financial Performance Metrics - Comparable Store Sales Growth was reported at 5.8%, exceeding the average estimate of 4.9% based on three analysts [4] - Total number of stores stood at 364, slightly below the average estimate of 366 from two analysts [4] - In the United States, the number of stores was 176, compared to the average estimate of 180 [4] - In Canada, the number of stores was 170, slightly above the average estimate of 169 [4] - Comparable Store Sales Growth in the United States was 7.1%, surpassing the average estimate of 5.3% [4] - Comparable Store Sales Growth in Canada was 3.9%, slightly below the average estimate of 4.1% [4] - U.S. Retail revenue was $234.71 million, compared to the average estimate of $235.44 million, reflecting a year-over-year increase of 10.5% [4] - Other revenue was reported at $32.62 million, below the average estimate of $33.9 million, with a year-over-year change of +7.1% [4] - Canada Retail revenue was $159.61 million, exceeding the average estimate of $157.42 million, with a year-over-year increase of 5.1% [4] Stock Performance - Shares of Savers Value have returned +2.3% over the past month, while the Zacks S&P 500 composite has changed by +3.6% [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market in the near term [3]

Core Insights - Savers Value Village (SVV) reported quarterly earnings of $0.14 per share, matching the Zacks Consensus Estimate, but down from $0.15 per share a year ago [1] - The company achieved revenues of $426.94 million for the quarter ended September 2025, exceeding the Zacks Consensus Estimate by 0.09% and up from $394.8 million year-over-year [2] - Savers Value shares have increased approximately 29.6% year-to-date, outperforming the S&P 500's gain of 17.2% [3] Earnings Performance - Over the last four quarters, Savers Value has surpassed consensus EPS estimates two times and topped revenue estimates three times [2] - The current consensus EPS estimate for the upcoming quarter is $0.14 on revenues of $461.26 million, and for the current fiscal year, it is $0.45 on revenues of $1.68 billion [7] Market Outlook - The company's stock is currently rated Zacks Rank 3 (Hold), indicating expected performance in line with the market in the near future [6] - The outlook for the Textile - Apparel industry, where Savers Value operates, is currently in the bottom 19% of over 250 Zacks industries, which may impact stock performance [8]

Financial Data and Key Metrics Changes - Total net sales increased by 8.1% to $427 million, with a constant currency increase of 8.6% [12] - Comparable store sales (COMPS) increased by 5.8%, with U.S. COMPS up 7.1% and Canadian COMPS up 3.9% [12][19] - Adjusted EBITDA for the quarter was $70 million, representing an adjusted EBITDA margin of 16.4% [16] Business Line Data and Key Metrics Changes - U.S. business sales grew by 10.5% to $235 million, driven by both transactions and average basket size [12][19] - Canadian net sales increased by 5.1% to $161 million, with a constant currency increase of 6.1% [12] - U.S. segment profit was $48 million, up $3 million year-over-year, while Canadian segment profit was $45 million, up $0.4 million [16] Market Data and Key Metrics Changes - The Canadian macro environment remains challenging, with unemployment above 7% and inflationary pressures affecting lower-income consumers [8][9] - The U.S. market shows strong momentum, with a notable increase in younger and more affluent customer cohorts [6][12] Company Strategy and Development Direction - The company plans to open 25 new stores in 2025, focusing on U.S. expansion due to significant growth opportunities [4][10] - A strategic shift towards U.S.-centric growth is emphasized, with 75% to 80% of growth capital allocated to the U.S. market [22] - The company aims to maintain a targeted 20% store-level contribution margin and improve operational efficiency [4][24] Management's Comments on Operating Environment and Future Outlook - Management acknowledges ongoing macroeconomic pressures in Canada but remains optimistic about U.S. growth [5][18] - The company is tightening its revenue and earnings outlook for 2025, projecting net sales of $1.67 billion to $1.68 billion [19] - Management expects Canadian COMPS to remain flat in the fourth quarter due to challenging conditions [18] Other Important Information - The company has successfully refinanced its debt, expecting annual interest expense savings of approximately $17 million [16] - A new $50 million share repurchase authorization has been approved by the board of directors [18] - The company has kept 3.2 billion pounds of usable items out of landfills over the past five years, highlighting its commitment to sustainability [11] Q&A Session Summary Question: Can you unpack the Canadian market further? - Management noted that while there has been sequential improvement in Canada, macro challenges persist, including high unemployment and inflation [21] Question: What are the drivers behind the margin pressures? - The primary drivers include new store growth and processing challenges in Canada, which management is actively addressing [30] Question: How is the U.S. business performing in terms of customer transactions? - The U.S. business is seeing strong transaction growth, particularly among younger and higher-income consumers [26] Question: What is the strategy for new market expansion? - The company plans to enter Tennessee and North Carolina, leveraging local supply and community engagement strategies [32][39] Question: How will the company manage profitability between U.S. and Canadian segments? - Management indicated a focus on maintaining profitability in the U.S. while being disciplined with costs in Canada [44]

Sales Performance - Total net sales increased by 8.1% to $426.9 million, with comparable store sales rising by 5.8%[5] - U.S. net sales grew by 10.5%, while comparable store sales increased by 7.1%; Canadian net sales rose by 5.1% with comparable store sales up by 3.9%[5] - Net sales for the thirteen weeks ended September 27, 2025, were $426,935,000, representing an increase from $394,797,000 for the same period in 2024, a growth of 8.9%[26] - Total net sales for the thirteen weeks ended September 27, 2025, increased by 8.1% to $426,935,000 from $394,797,000 in the prior year[36] - U.S. Retail segment net sales rose by 10.5% to $234,712,000, while Canada Retail segment net sales increased by 5.1% to $159,608,000 for the same period[36] - The company’s Canada Retail segment saw a net sales increase of 6.1% to $159,608,000 for the thirteen weeks ended September 27, 2025[52] - The company’s total net sales for the thirty-nine weeks ended September 27, 2025, were $1,214,288,000, reflecting an increase of $92,156,000 or 8.1% from $1,135,632,000 in the prior year[54] Financial Performance - Net loss was $14.0 million, or $0.09 per diluted share, impacted by a $32.6 million pre-tax loss on debt extinguishment[5] - Adjusted net income was $22.5 million, or $0.14 per diluted share, with Adjusted EBITDA at $70.0 million and a margin of 16.4%[5] - Operating income decreased to $36,341,000 for the thirteen weeks ended September 27, 2025, down from $48,638,000 in the prior year, reflecting a decline of 25.3%[26] - The net loss for the thirteen weeks ended September 27, 2025, was $14,003,000, compared to a net income of $21,681,000 for the same period in 2024, marking a significant shift in performance[26] - Adjusted net income for the thirteen weeks ended September 27, 2025, was $22,476,000, compared to $30,257,000 for the same period in 2024[39] - The company expects adjusted net income for the fiscal year ending January 3, 2026, to be between $71,000,000 and $75,000,000[42] - The diluted adjusted net income per share for the fiscal year ending January 3, 2026, is projected to be between $0.44 and $0.46[42] - The company reported a net income margin of (3.3)% for the thirteen weeks ended September 27, 2025, compared to 5.5% in the prior year[46] Debt and Financial Stability - Debt refinancing is expected to reduce annual interest expenses by approximately $17 million, enhancing financial stability[6] - The company incurred a loss on extinguishment of debt amounting to $35,339,000 during the thirty-nine weeks ended September 27, 2025, compared to $4,088,000 in the prior year[30] - The company incurred a loss on extinguishment of debt amounting to $32,621,000 for the thirteen weeks ended September 27, 2025[39] Assets and Liabilities - Total current assets decreased to $194,255,000 as of September 27, 2025, down from $230,224,000 at the end of December 2024, a decline of 15.6%[28] - Total liabilities increased to $1,545,663,000 as of September 27, 2025, compared to $1,463,815,000 at the end of December 2024, an increase of 5.6%[28] - The company’s accumulated deficit increased to $285,864,000 as of September 27, 2025, compared to $250,451,000 at the end of December 2024, an increase of 14.1%[28] - The company’s total assets grew to $1,960,286,000 as of September 27, 2025, up from $1,885,495,000 at the end of December 2024, an increase of 4.0%[28] Future Outlook - The fiscal 2025 outlook projects net sales between $1.67 billion and $1.68 billion, with adjusted net income expected to be between $71 million and $75 million[10] - Comparable store sales growth for fiscal 2025 is now estimated at 4.0% to 4.5%[10] - The company expects adjusted EBITDA for the fiscal year ending January 3, 2026, to be between $252 million and $257 million[49] Shareholder Actions - A new share repurchase program of up to $50 million has been authorized, effective from November 9, 2025[7] Operational Metrics - The company processed 282 million pounds in the thirteen weeks ended September 27, 2025, up from 261 million pounds in the same period of 2024[56] - The cost of merchandise sold per pound processed was $0.67 for the thirteen weeks ended September 27, 2025, compared to $0.65 in the same period of 2024[56]

Core Insights - Savers Value Village (SVV) has a strong history of exceeding earnings estimates and is well-positioned for continued success in upcoming reports [1][2] - The company has achieved an average earnings surprise of 58.33% over the last two quarters [2] - Recent earnings reports show that SVV reported $0.14 per share against an expectation of $0.12, resulting in a 16.67% surprise, and previously reported $0.02 per share against an expectation of $0.01, achieving a 100% surprise [3] Earnings Estimates - There has been a positive shift in earnings estimates for Savers Value, indicated by a positive Zacks Earnings ESP (Expected Surprise Prediction) [6] - Stocks with a positive Earnings ESP and a Zacks Rank of 3 or better have a nearly 70% chance of producing a positive surprise [7] - Currently, Savers Value has an Earnings ESP of +3.70%, indicating increased analyst optimism regarding its near-term earnings potential [9] Earnings Release Information - The next earnings report for Savers Value is anticipated to be released on October 30, 2025 [9]

Market Overview - The stock market has reached new all-time highs, leading to a division among investors into bulls and bears [3][4] - Historical data from the S&P 500 since 1927 indicates that after hitting record highs, the average return over the following two years is positive, with a one-year return of 9.9% [4][6] Investment Recommendations - Eric Fry has recommended buying Savers Value Village (SVV), which benefits from the trend of consumers moving towards cheaper retail options and the growing popularity of thrifting [8] - SVV is advised as a buy below $14.25, reflecting confidence in its revenue growth potential [9] AI and Data Center Demand - Global demand for data center capacity is projected to grow between 19% and 22% annually from 2023 to 2030, potentially tripling current demand of around 60 gigawatts [10][11] - Nvidia (NVDA) is positioned as a leader in the AI megatrend, with significant investments from OpenAI and Intel aimed at enhancing data center capabilities [11][13]

Core Insights - Savers Value Village (SVV) shares increased by 5.9% to $13.2, with an impressive trading volume, marking an 8.9% gain over the past four weeks [1][2] Company Performance - SVV's growth is driven by strong momentum in U.S. operations, characterized by higher transaction volumes and larger basket sizes, alongside a steady recovery in Canada [2] - The upcoming quarterly earnings are projected at $0.14 per share, reflecting a year-over-year decline of 6.7%, while revenues are expected to reach $426.27 million, an 8% increase from the previous year [3] Earnings Estimates - The consensus EPS estimate for SVV has remained stable over the last 30 days, indicating that stock price movements may not sustain without trends in earnings estimate revisions [4] - The stock currently holds a Zacks Rank of 3 (Hold), suggesting a neutral outlook [4] Industry Context - Savers Value operates within the Zacks Textile - Apparel industry, where another company, Superior Group (SGC), has also maintained a Zacks Rank of 3 (Hold) [4][5] - SGC's EPS estimate for the upcoming report is $0.22, representing a significant year-over-year decline of 33.3% [5]

Company Overview - Savers Value Village (NYSE: SVV) has been previously rated as a hold due to significant deterioration in margins, indicating caution for potential investors [1]. Investment Strategy - The investment approach discussed includes a combination of fundamental investing, technical investing, and momentum investing, suggesting a diversified strategy to enhance investment performance [1]. Investor Engagement - The article serves as a platform for tracking investment ideas and connecting with like-minded investors, highlighting the importance of community in investment decision-making [1].

Group 1 - The stock of Savers Value Village, Inc. (SVV) is experiencing significant attention due to high implied volatility in the options market, particularly the Oct 17, 2025 $5.00 Put option [1] - Implied volatility indicates the market's expectation of future price movement, suggesting that investors anticipate a significant change in the stock's price, potentially due to an upcoming event [2] - Analysts have a cautious outlook on Savers Value, with the company holding a Zacks Rank 3 (Hold) in the Textile - Apparel industry, which is in the bottom 21% of the Zacks Industry Rank [3] Group 2 - Over the past 60 days, no analysts have raised their earnings estimates for Savers Value, while three analysts have lowered their estimates, resulting in a decrease in the Zacks Consensus Estimate from 15 cents to 14 cents per share for the current quarter [3] - The high implied volatility may indicate a trading opportunity, as options traders often seek to sell premium on options with elevated implied volatility, hoping the stock does not move as much as expected by expiration [4]

Core Insights - The article provides a comprehensive analysis of Amazon.com in comparison to its major competitors in the Broadline Retail industry, focusing on financial metrics, market position, and growth prospects [1] Company Overview - Amazon is the leading online retailer, with retail-related revenue accounting for approximately 75% of total revenue, followed by Amazon Web Services (15%), advertising services (5% to 10%), and other segments [2] - International sales contribute 25% to 30% of Amazon's non-AWS revenue, with Germany, the United Kingdom, and Japan being the leading markets [2] Financial Metrics Comparison - Amazon's Price to Earnings (P/E) ratio is 35.28, which is 0.79x lower than the industry average, indicating potential undervaluation [5] - The Price to Book (P/B) ratio of 7.39 exceeds the industry average by 1.11x, suggesting the stock may be trading at a premium relative to its book value [5] - Amazon's Price to Sales (P/S) ratio of 3.72 is 1.62x the industry average, indicating it might be considered overvalued based on sales performance [5] - The Return on Equity (ROE) stands at 5.68%, which is 0.18% above the industry average, reflecting efficient use of equity to generate profits [5] - Amazon's Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) is $36.6 billion, which is 5.91x above the industry average, indicating stronger profitability [5] - The gross profit of $86.89 billion is 5.24x above the industry average, showcasing higher earnings from core operations [5] - Revenue growth of 13.33% exceeds the industry average of 11.18%, indicating strong sales performance [5] Debt to Equity Ratio - Amazon's debt-to-equity (D/E) ratio is 0.4, indicating a lower reliance on debt financing compared to its top 4 peers, which suggests a more favorable balance between debt and equity [10] - The D/E ratio comparison allows for a concise evaluation of financial health and risk profile within the industry [8] Summary of Performance - Overall, Amazon.com demonstrates strong financial performance and growth potential, outperforming its industry peers in key metrics such as ROE, EBITDA, gross profit, and revenue growth [8]