Home / Business and Economy / Apparel Stocks: Zumiez Dips, Tilly's Soars!
Apparel Stocks: Zumiez Dips, Tilly's Soars!
1 Aug
Summary
- Apparel retailers beat Q1 revenue estimates by 1% with guidance in line.
- Zumiez's stock fell 16.8% after missing EPS and revenue guidance.
- Tilly's revenue grew 15.9%, outperforming estimates and leading the group.
Apparel retailer stocks concluded their first quarter with generally satisfactory results, collectively exceeding revenue expectations by 1% and maintaining in-line guidance for the upcoming quarter. Share prices for these companies have shown notable resilience, averaging a 5.7% increase following their latest earnings reports.
Zumiez (NASDAQ:ZUMZ), a specialty retailer of street and skate apparel, reported revenues of $193.3 million, marking a 4.9% year-on-year increase. While this met analyst expectations, the company issued EPS and revenue guidance for the next quarter that fell significantly short of projections, leading to a 16.8% stock decline.
In contrast, Tilly's (NYSE:TLYS), focusing on skate and surf culture, posted revenues of $124.7 million, an impressive 15.9% year-on-year growth. This performance surpassed analyst expectations by 2.8% and was further bolstered by strong EPS guidance and gross margin estimates. Despite its leading performance, Tilly's stock also saw a dip of 18.5% after its earnings release.
