Academy Sports and Outdoors, Inc. (ASO) Lags Q2 Earnings and Revenue Estimates

Financial Performance - Academy Sports and Outdoors, Inc. reported quarterly earnings of $1.94 per share, missing the Zacks Consensus Estimate of $2.12 per share, and down from $2.03 per share a year ago, representing an earnings surprise of -8.49% [1] - The company posted revenues of $1.6 billion for the quarter ended July 2025, missing the Zacks Consensus Estimate by 0.67%, and up from $1.55 billion year-over-year [2] - Over the last four quarters, the company has surpassed consensus EPS estimates just once and topped consensus revenue estimates only once [2] Stock Performance - Academy Sports and Outdoors shares have lost about 6.9% since the beginning of the year, while the S&P 500 has gained 9.8% [3] - The current status translates into a Zacks Rank 4 (Sell) for the stock, indicating expected underperformance in the near future [6] Earnings Outlook - The current consensus EPS estimate for the coming quarter is $1.08 on revenues of $1.39 billion, and for the current fiscal year, it is $5.83 on revenues of $6.1 billion [7] - The estimate revisions trend for Academy Sports and Outdoors was unfavorable ahead of the earnings release, which may impact future stock movements [5][6] Industry Context - The Leisure and Recreation Products industry, to which Academy Sports and Outdoors belongs, is currently in the bottom 30% of the Zacks Industry Rank, indicating potential challenges for stock performance [8] - Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions, suggesting that industry outlook can materially impact stock performance [5][8]