Dillard's (DDS) closed the most recent trading day at $303.28, moving -1.1% from the previous trading session. This change was narrower than the S&P 500's daily loss of 1.48%. Meanwhile, the Dow lost 1.05%, and the Nasdaq, a tech-heavy index, lost 0.09%.
Heading into today, shares of the department store operator had gained 12% over the past month, outpacing the Retail-Wholesale sector's loss of 2.46% and the S&P 500's gain of 0.08% in that time.
Wall Street will be looking for positivity from Dillard's as it approaches its next earnings report date. The company is expected to report EPS of $5.36, down 15.86% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $1.55 billion, up 16.52% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $17.94 per share and revenue of $6.8 billion. These totals would mark changes of -55.21% and +4.67%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for Dillard's. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Dillard's is currently a Zacks Rank #2 (Buy).
In terms of valuation, Dillard's is currently trading at a Forward P/E ratio of 17.09. For comparison, its industry has an average Forward P/E of 8.47, which means Dillard's is trading at a premium to the group.
We can also see that DDS currently has a PEG ratio of 1.17. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Retail - Regional Department Stores stocks are, on average, holding a PEG ratio of 1.06 based on yesterday's closing prices.
The Retail - Regional Department Stores industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 7, putting it in the top 3% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Dillard's, Inc. (DDS): Free Stock Analysis Report
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