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Summary

  • Academy Sports and Outdoors received a ‘Buy’ rating from analysts post the release of its Q1 2023 results.
  • Refintiv data shows the company has received a mean recommendation rating of 1.7 on a scale of one to five.
  • ASO reported net sales of US$ 1.383 billion and net income of US$ 94 million for the quarter ended April 29, 2023.

Analysts maintained their ‘Buy’ rating on Academy Sports and Outdoors Inc. (NASDAQ: ASO) despite the company reporting a drop in earnings for Q1 2023.

Academy Sports and Outdoors is a retailer of sporting goods and outdoor recreation products. Some of the company’s products include clothing for the outdoors, backpacks, and luggage items and even water sports equipment. The company also sells fitness equipment as well as dog supplies.

Data available on EODHD/Others suggests that the company has received a mean recommendation rating of 1.7 on a scale of one to five. Here, one represents a ‘Strong Buy’ and five represents a ‘Strong Sell’. Meanwhile, the consensus mean price target on the stock is US$ 68.21, which is 36.26% higher than its Wednesday’s closing price.

Image Source: ASO EODHD/Others

ASO closed at a price of US$ 50.06 on Wednesday, June 14, 2023. The stock hit its 52-week high of US$ 69.02 on April 12, 2023.

Which analysts suggest buying ASO?

As per data available on EODHD/Others, Gordon Haskett retained its ‘Buy’ rating on ASO after reviewing the stock on June 6, 2023. The broker’s price target on the stock was US$ 56, an upside potential of 11.87% on the stock’s closing price on Wednesday.

Cowen and Company also retained its ‘Outperform’ rating on the stock, with a price target of US$ 68. This is 35.84% higher than its closing price on June 15, 2023, of US$ 50.06. Loop Capital maintained a ‘Buy’ rating, while Wedblush Securities and Oppenheimer & Co maintained an ‘Outperform’ rating on the stock.

Image source: ©2023 Kalkine®; Data source: ASO EODHD/Others

A total of 15 analysts have covered the stock, out of which six have given ASO a ‘Strong Buy’ rating, eight have given it a ‘Buy’ rating, while one has given it a ‘Hold’ rating. None of the analysts have given it a ‘Sell’ or ‘Strong Sell’ rating.

ASO’s financial results for Q1 2023

For the quarter ended April 29, 2023, ASO reported net sales of US$ 1.383 billion and a net income of US$ 94 million. The adjusted net income during the quarter was US$ 103 million, which was 32.5% lower than the net income reported for the previous corresponding year.

The cash and cash equivalents during the period were US$ 295.5 million, as against US$ 472.4 million during Q1 2022. For the April 2023 quarter, ASO paid dividends worth US$ 6.9 million.

The company updated its fiscal 2023 guidance, with net sales expected to lie between US$ 6.17 billion to US$ 6.36 billion. It expects a net income between US$ 520 million to US$ 575 million for the fiscal year 2023.