Company Performance - Deckers (DECK) closed at $110.91, reflecting a +1.55% change from the previous day, outperforming the S&P 500's daily gain of 0.09% [1] - Over the past month, Deckers' shares declined by 9.79%, underperforming the Retail-Wholesale sector's gain of 6.31% and the S&P 500's gain of 7.21% [1] Upcoming Earnings - Deckers is expected to report earnings of $0.67 per share, indicating a year-over-year decline of 10.67%, while revenue is projected to be $899.01 million, representing an 8.92% increase compared to the same quarter last year [2] - For the full year, earnings are projected at $6.12 per share and revenue at $5.36 billion, showing changes of -3.32% and +7.61% respectively from the previous year [3] Analyst Estimates and Valuation - The Zacks Consensus EPS estimate has decreased by 5.3% over the past month, and Deckers currently holds a Zacks Rank of 4 (Sell) [5] - Deckers has a Forward P/E ratio of 17.86, which is a premium compared to the industry's average Forward P/E of 17 [5] - The company has a PEG ratio of 6.57, significantly higher than the Retail - Apparel and Shoes industry's average PEG ratio of 1.94 [6] Industry Context - The Retail - Apparel and Shoes industry ranks in the bottom 30% of all industries, with a current Zacks Industry Rank of 173 [6] - The Zacks Industry Rank measures the strength of industry groups, indicating that the top 50% rated industries outperform the bottom half by a factor of 2 to 1 [7]

Group 1 - Advance Auto Parts (AAP) is a notable stock within the Retail-Wholesale group, which consists of 209 companies, currently ranked 10 in the Zacks Sector Rank [2][4] - AAP has a Zacks Rank of 2 (Buy), indicating a favorable outlook based on earnings estimate revisions and improving earnings outlooks [3][4] - Year-to-date, AAP has returned 11%, significantly outperforming the Retail-Wholesale sector's average return of 3.4% [4] Group 2 - AAP is part of the Automotive - Retail and Wholesale - Parts industry, which includes 7 companies and is currently ranked 90 in the Zacks Industry Rank [6] - The Automotive - Retail and Wholesale - Parts industry has gained an average of 11.8% year-to-date, indicating that AAP is slightly underperforming its industry [6] - In contrast, Canada Goose (GOOS), another outperforming stock in the Retail-Wholesale sector, has returned 13.5% year-to-date and is part of the Retail - Apparel and Shoes industry, which has declined by 13.1% this year [5][7]

Financial Performance - Zumiez reported a quarterly loss of $0.79 per share, slightly worse than the Zacks Consensus Estimate of a loss of $0.77, but an improvement from a loss of $0.86 per share a year ago [1] - The company posted revenues of $184.34 million for the quarter ended April 2025, exceeding the Zacks Consensus Estimate by 0.99% and up from $177.39 million year-over-year [2] - Over the last four quarters, Zumiez has surpassed consensus EPS estimates two times and topped consensus revenue estimates three times [2] Stock Performance - Zumiez shares have declined approximately 34.4% since the beginning of the year, contrasting with the S&P 500's gain of 1.5% [3] - The current Zacks Rank for Zumiez is 3 (Hold), indicating that the shares are expected to perform in line with the market in the near future [6] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.06 on revenues of $211.02 million, and for the current fiscal year, it is $0.24 on revenues of $900.58 million [7] - The estimate revisions trend for Zumiez is mixed, and changes in earnings expectations may occur following the recent earnings report [6] Industry Context - The Retail - Apparel and Shoes industry, to which Zumiez belongs, is currently ranked in the bottom 42% of over 250 Zacks industries, suggesting potential challenges ahead [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact Zumiez's stock performance [5]

Core Viewpoint - Torrid Holdings reported quarterly earnings of $0.06 per share, exceeding the Zacks Consensus Estimate of $0.05 per share, but down from $0.12 per share a year ago, indicating a 20% earnings surprise [1][2] Financial Performance - The company posted revenues of $265.97 million for the quarter ended April 2025, missing the Zacks Consensus Estimate by 1.36% and down from $279.77 million year-over-year [2] - Over the last four quarters, Torrid Holdings has surpassed consensus EPS estimates three times and topped consensus revenue estimates two times [2] Stock Performance - Torrid Holdings shares have declined approximately 2.7% since the beginning of the year, while the S&P 500 has gained 1.5% [3] - The current consensus EPS estimate for the upcoming quarter is $0.08 on revenues of $279.17 million, and for the current fiscal year, it is $0.15 on revenues of $1.09 billion [7] Industry Outlook - The Retail - Apparel and Shoes industry, to which Torrid Holdings belongs, is currently ranked in the bottom 42% of over 250 Zacks industries, which may impact stock performance [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, suggesting that investors should monitor these revisions closely [5][6]

Financial Performance - Tilly's reported a quarterly loss of $0.74 per share, which was worse than the Zacks Consensus Estimate of a loss of $0.66, and compared to a loss of $0.48 per share a year ago, indicating a significant decline in performance [1] - The company posted revenues of $107.61 million for the quarter ended April 2025, missing the Zacks Consensus Estimate by 0.54%, and down from $115.86 million in the same quarter last year [2] - Over the last four quarters, Tilly's has surpassed consensus EPS estimates only once and has topped consensus revenue estimates just once [2] Stock Performance - Tilly's shares have declined approximately 68.5% since the beginning of the year, contrasting sharply with the S&P 500's gain of 1.5% [3] - The current Zacks Rank for Tilly's is 3 (Hold), suggesting that the shares are expected to perform in line with the market in the near future [6] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is -$0.06 on revenues of $147.22 million, and for the current fiscal year, it is -$1.24 on revenues of $549.87 million [7] - The trend of estimate revisions for Tilly's is mixed, and future changes in estimates will be closely monitored following the recent earnings report [6][7] Industry Context - The Retail - Apparel and Shoes industry, to which Tilly's belongs, is currently ranked in the bottom 35% of over 250 Zacks industries, indicating a challenging environment [8] - Empirical research suggests that the performance of stocks can be significantly influenced by the outlook for the industry [8]

Company Performance - Genesco reported a quarterly loss of $2.05 per share, slightly better than the Zacks Consensus Estimate of a loss of $2.09, and an improvement from a loss of $2.10 per share a year ago, indicating an earnings surprise of 1.91% [1] - The company posted revenues of $473.97 million for the quarter ended April 2025, surpassing the Zacks Consensus Estimate by 2.33% and showing an increase from year-ago revenues of $457.6 million [2] - Over the last four quarters, Genesco has exceeded consensus EPS estimates three times and topped consensus revenue estimates three times as well [2] Stock Outlook - Genesco shares have declined approximately 47.7% since the beginning of the year, contrasting with the S&P 500's gain of 1.5% [3] - The current consensus EPS estimate for the upcoming quarter is -$0.81 on revenues of $531.05 million, while for the current fiscal year, the estimate is $1.47 on revenues of $2.34 billion [7] Industry Context - The Retail - Apparel and Shoes industry, to which Genesco belongs, is currently ranked in the bottom 35% of over 250 Zacks industries, suggesting potential challenges ahead [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact Genesco's stock performance [5]

Core Viewpoint - Gap Inc. reported strong first-quarter fiscal 2025 results, with earnings per share of 51 cents and sales of $3.5 billion, both exceeding expectations. However, the stock fell 14.85% in after-hours trading due to concerns over tariff-related costs and a muted outlook for the second quarter and fiscal 2025 [1][2][3]. Financial Performance - Earnings per share of 51 cents beat the Zacks Consensus Estimate of 44 cents, representing a 24.4% year-over-year improvement [2]. - Sales reached $3.5 billion, surpassing the Zacks Consensus Estimate of $3.42 billion, and increased by 2% year over year [2]. Tariff-Related Concerns - Management disclosed potential gross incremental costs of $250-$300 million due to tariffs, with net impacts of $100-$150 million on fiscal 2025 operating income, raising investor concerns about profitability [3]. - The anticipated impacts are expected to weigh more heavily in the latter half of the fiscal year, leading to worries about margin compression [3]. Sales Outlook - Gap guided for flat year-over-year sales in the second quarter of fiscal 2025, which is weaker than investor expectations [4]. - The company reaffirmed a sales growth forecast of just 1-2% for fiscal 2025, indicating limited upside potential [4]. Brand Performance - Athleta's comparable sales declined by 8% in the first quarter, while Banana Republic's net sales fell by 3%, suggesting ongoing struggles in these brands [5]. - Management acknowledged challenges in product and customer alignment for Athleta and a slow recovery for Banana Republic despite brand rebuilding efforts [5]. Stock Performance - Over the past three months, Gap's stock has outperformed the Retail - Apparel and Shoes industry, rising 30.9% compared to the industry's 4.9% growth [6][8]. - The stock is currently priced at $27.95, 8.6% below its 52-week high of $30.59 and 64.5% above its 52-week low of $16.99 [9]. Valuation Metrics - Gap's forward 12-month price-to-earnings (P/E) ratio is 11.79X, significantly lower than the industry average of 18.27X and the S&P 500's 21.66X [14]. - The forward 12-month price-to-sales (P/S) ratio of 0.68X is also substantially lower than the industry average of 1.8X and the S&P 500's 5.06X [14]. Strategic Initiatives - Gap is focusing on operational improvements, including supply-chain efficiency, cost controls, and digital transformation to enhance customer experience [18]. - The company is investing in product innovation and sustainability to reconnect with younger consumers and maintain brand relevance [19]. Long-Term Outlook - Despite short-term concerns, the company continues to show progress in its strategic turnaround, with strong financial results indicating potential for long-term growth [20]. - Gap remains attractively priced relative to peers, suggesting value for long-term investors, although near-term uncertainties persist [21][22].

Core Viewpoint - Shoe Carnival reported quarterly earnings of $0.34 per share, exceeding the Zacks Consensus Estimate of $0.27 per share, but down from $0.64 per share a year ago, indicating a significant earnings surprise of 25.93% [1][2] Financial Performance - The company posted revenues of $277.72 million for the quarter ended April 2025, missing the Zacks Consensus Estimate by 1.52% and down from $300.36 million year-over-year [2] - Over the last four quarters, Shoe Carnival has surpassed consensus EPS estimates four times but has only topped revenue estimates once [2] Stock Performance - Shoe Carnival shares have declined approximately 44.3% since the beginning of the year, contrasting with the S&P 500's gain of 0.5% [3] - The current Zacks Rank for Shoe Carnival is 4 (Sell), indicating expectations of underperformance in the near future [6] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.53 on revenues of $316.84 million, and for the current fiscal year, it is $1.60 on revenues of $1.16 billion [7] - The trend for earnings estimate revisions ahead of the earnings release was unfavorable, which may impact future stock movements [6] Industry Context - The Retail - Apparel and Shoes industry, to which Shoe Carnival belongs, is currently ranked in the bottom 32% of over 250 Zacks industries, suggesting potential challenges for the stock's performance [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could be a useful metric for investors [5]

Financial Performance - American Eagle Outfitters reported a quarterly loss of $0.29 per share, which was worse than the Zacks Consensus Estimate of a loss of $0.25, and a decline from earnings of $0.34 per share a year ago, indicating an earnings surprise of -16% [1] - The company posted revenues of $1.09 billion for the quarter ended April 2025, missing the Zacks Consensus Estimate by 0.15%, and down from $1.14 billion in the same quarter last year [2] - Over the last four quarters, American Eagle has surpassed consensus EPS estimates three times, but has only topped consensus revenue estimates once [2] Stock Performance - American Eagle shares have declined approximately 33.5% since the beginning of the year, contrasting with the S&P 500's gain of 0.1% [3] - The current consensus EPS estimate for the upcoming quarter is $0.25 on revenues of $1.24 billion, and for the current fiscal year, it is $1.01 on revenues of $5.22 billion [7] Industry Outlook - The Retail - Apparel and Shoes industry, to which American Eagle belongs, is currently ranked in the bottom 37% of over 250 Zacks industries, suggesting potential challenges ahead [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact American Eagle's stock performance [5]

Core Viewpoint - Wall Street anticipates a year-over-year decline in earnings for Victoria's Secret due to lower revenues, with a focus on how actual results will compare to estimates [1][2]. Earnings Expectations - The earnings report is expected on June 5, 2025, with a consensus EPS estimate of $0.04, reflecting a -66.7% year-over-year change, and revenues projected at $1.33 billion, down 2.1% from the previous year [3][4]. Estimate Revisions - The consensus EPS estimate has been revised 7.02% higher in the last 30 days, indicating a reassessment by analysts [4]. Earnings Surprise Prediction - Victoria's Secret has a positive Earnings ESP of +54.55%, suggesting analysts are optimistic about the company's earnings prospects, despite a Zacks Rank of 3 [12]. Historical Performance - In the last reported quarter, Victoria's Secret exceeded the expected EPS of $2.30 by delivering $2.60, resulting in a +13.04% surprise. The company has beaten consensus EPS estimates in the last four quarters [13][14]. Industry Comparison - Genesco, another player in the retail apparel industry, is expected to report an EPS of $2.14, indicating a -1.9% year-over-year change, with revenues projected at $463.91 million, up 1.4% [19].