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Here's How Burlington Stores (BURL) Looks Ahead of Q4 Earnings

Burlington Stores, Inc. BURL is likely to register an increase in the top line when it reports fourth-quarter fiscal 2023 earnings on Mar 7 before market open. The Zacks Consensus Estimate for revenues stands at $3.01 billion, indicating a rise of 9.7% from the prior-year reported figure.

The bottom line of this off-price retailer of high-quality, branded apparel at everyday low prices is expected to increase year over year. The Zacks Consensus Estimate for fourth-quarter earnings per share, which has risen by a couple of cents to $3.27 in the past seven days, suggests a sharp increase from $2.96 reported in the year-ago period.

Burlington Stores has a trailing four-quarter earnings surprise of 9.4%, on average. In the last reported quarter, this Burlington, NJ-based company missed the Zacks Consensus Estimate by 1%.

Factors to Note

Burlington Stores has adeptly responded to the challenges in the retail landscape by strategically emphasizing recognizable brands, implementing the best pricing strategy and targeting trade-down shoppers. The expansion of its merchandise offering, especially the increased focus on recognizable brands, is expected to have positively impacted the company's merchandise margin.

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The implementation of strategic initiatives aimed at enhancing merchandising capabilities, operational efficiency and store optimization is likely to have supported revenue growth in the fourth quarter. By focusing on initiatives such as store relocations and downsizing, Burlington Stores aims to improve store productivity. The ability to quickly respond to evolving market dynamics and adjust inventory levels based on real-time data insights has enabled the company to seize opportunities.

Despite the aforementioned tailwinds, we cannot ignore concerns related to the company's dependency on lower-income customers and other operational challenges. The economic landscape remains uncertain, marked by geopolitical tensions and economic pressures on consumers, which may impact spending behaviors.

Deckers Outdoor Corporation Price, Consensus and EPS Surprise

Deckers Outdoor Corporation Price, Consensus and EPS Surprise
Deckers Outdoor Corporation Price, Consensus and EPS Surprise

Deckers Outdoor Corporation price-consensus-eps-surprise-chart | Deckers Outdoor Corporation Quote

What the Zacks Model Unveils

Our proven model predicts an earnings beat for Burlington Stores this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat, which is the case here.

Burlington Stores has an Earnings ESP of +2.32% and a Zacks Rank #3. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

3 More Stocks With the Favorable Combination

Here are three other companies you may want to consider as our model shows that these, too, have the right combination of elements to post an earnings beat:

American Eagle Outfitters AEO currently has an Earnings ESP of +1.13% and sports a Zacks Rank #1. The company is likely to register a bottom-line increase when it reports fourth-quarter fiscal 2023 numbers. The Zacks Consensus Estimate for the quarterly earnings per share of 50 cents suggests an increase from 37 cents reported in the year-ago quarter. You can see the complete list of today’s Zacks #1 Rank stocks here.

American Eagle Outfitters’ top line is expected to advance year over year. The Zacks Consensus Estimate for quarterly revenues is pegged at $1.66 billion, which indicates an increase of 11.2% from the figure reported in the prior-year quarter. American Eagle Outfitters has a trailing four-quarter earnings surprise of 23%, on average.

Costco COST currently has an Earnings ESP of +1.58% and carries a Zacks Rank #2. The Zacks Consensus Estimate for second-quarter fiscal 2024 earnings per share is pegged at $3.60, up 9.1% year over year.

Costco’s top line is expected to ascend year over year. The Zacks Consensus Estimate for quarterly revenues is pegged at $59.2 billion, which indicates an increase of 7.1% from the figure reported in the prior-year quarter. COST has a trailing four-quarter earnings surprise of 2.6%, on average.

Ollie's Bargain OLLI currently has an Earnings ESP of +1.12% and a Zacks Rank of 3. The company is likely to register an increase in the bottom line when it reports fourth-quarter fiscal 2023 numbers. The Zacks Consensus Estimate for quarterly earnings per share of $1.16 suggests a rise of 38.1% from the year-ago reported number.

Ollie's Bargain’s top line is expected to ascend year over year. The Zacks Consensus Estimate for quarterly revenues is pegged at $649.1 million, which suggests an increase of 18.1% from the prior-year quarter. OLLI has a trailing four-quarter earnings surprise of 7%, on average.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.

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American Eagle Outfitters, Inc. (AEO) : Free Stock Analysis Report

Costco Wholesale Corporation (COST) : Free Stock Analysis Report

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

Ollie's Bargain Outlet Holdings, Inc. (OLLI) : Free Stock Analysis Report

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