Burlington Stores (BURL) is set for outperformance in 2026 and earnings per share growth should surpass that of peers through 2027, UBS Securities said in a note emailed Friday.
UBS noted that the company has delivered 14 consecutive quarters of double-digit, year-on-year EPS growth, with a 26% increase in fiscal Q1. Burlington Stores reported fiscal Q1 adjusted earnings of $2.01 per share, up from $1.60 a year earlier, as revenue rose to $2.86 billion from $2.50 billion.
The company's fiscal Q1 results demonstrated its advantages as an off-price retailer and the benefits from its self-help initiatives, the brokerage said. Burlington Stores is also positioned for margin expansion and continuous market share gains from department stores, UBS added.
UBS reiterated its buy rating on Burlington Stores and raised the price target on the stock to $435 from $430.
Price: 313.07, Change: +12.55, Percent Change: +4.17
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