FINWIRES · TerminalLIVE
FINWIRES

Burlington Stores Seen Continuing Strong Earnings Growth, UBS Says

By

Burlington Stores (BURL) strong fiscal Q2 results backed by top line growth and margin expansion are reinforcing the company's growth algorithm, UBS Securities said in a Thursday note.

The company delivered 38% EPS growth, building on a 39% increase a year earlier, which UBS viewed as the result of an effective "Burlington 2.0" strategy.

UBS analysts noted the management's decision to invest tariff refunds in sharper values could pressure next year's earnings when there is no tariff refund to offset the investment, but management expects to grow its EBIT margin from the current fiscal 2026 base expectation.

Burlington's 2% Q2 comparable sales growth trailed Ross Stores' (ROST) 10%, but total sales growth was 10% compared with 13% for Ross as Burlington continues opening new stores, the firm said.

UBS models fiscal Q3 EPS estimate of $1.70, compared with its previous forecast of $1.95.

UBS maintained its buy rating on Burlington Stores and a $440 price target.

Burlington Stores shares were 5% lower in Friday trading.

Price: $274.30, Change: $-15.70, Percent Change: -5.41%

Related Articles

Wire

Update: PagerDuty Q2 Adjusted Earnings, Revenue Rise; Company Plans 15% Workforce Cut

(Updates with job cuts in the penultimate paragraph.)PagerDuty (PD) reported Thursday Q2 adjusted earnings of $0.32 per diluted share, up from $0.30 a year earlier.Analysts polled by FactSet expected $0.31.Revenue for the quarter ended July 31 rose to $124.4 million from $123.4 million a year earlier.Analysts projected $123.3 million.The company expects Q3 adjusted EPS of $0.34 to $0.36 on revenue of $123 million to $125 million. Analysts project EPS of $0.34 on revenue of $124.4 million.PagerDuty expects 2027 adjusted EPS of $1.33 to $1.37 on revenue of $491.5 million to $496.5 million. Analysts project EPS of $1.32 on revenue of $494.2 million.In a regulatory filing, the company said it plans to cut 15% of its workforce as part of a restructuring and record non-recurring charges of $5.5 million to $7.5 million related to the move.PagerDuty shares fell 2.4% in after-hours trading.

$PD
Wire

Affirm Fiscal Q4 Earnings, Revenue Rise; Shares Gain After-Hours

Affirm Holdings (AFRM) reported fiscal Q4 net income late Thursday of $4.62 per diluted share, up from $0.20 a year earlierAnalysts polled by FactSet expected $0.35, if comparable.Revenue for the quarter ended June 30 was $1.17 billion, up from $876.4 million a year earlier.Analysts expected $1.11 billion.For fiscal Q1, the company expects revenue of $1.19 billion to $1.22 billion.Analysts are looking for $1.16 billion.Shares rose over 6% in after-hours activity.

$AFRM
Wire

Elastic Q1 Adjusted Earnings, Revenue Rise; Shares Surge After Hours

Elastic (ESTC) reported fiscal Q1 non-GAAP earnings late Thursday of $0.70 per diluted share, up from $0.60 a year earlier.Analysts polled by FactSet expected $0.58.Revenue in the three months ended July 31 rose to $478.1 million from $415.3 million a year earlier.Analysts projected $469.7 million.The company expects fiscal Q2 non-GAAP EPS of $0.80 to $0.82 on revenue of $486 million to $487 million.Analysts project EPS of $0.79 on revenue of $483.5 million.Elastic boosted fiscal 2027 guidance to non-GAAP EPS of $3.29 to $3.37 on revenue of $1.998 billion to $2.01 billion, up from the prior forecast of EPS of $3.21 to $3.29 on revenue of $1.985 billion to $2 billion.Analysts expect EPS of $3.24 on revenue of $1.996 billion.Elastic shares jumped 22% in after-hours trading.

$ESTC