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On Friday, Williams Trading analyst Sam Poser reaffirmed a Buy rating on Boot Barn (NYSE:BOOT) shares, maintaining a $200.00 price target. This aligns with the broader analyst consensus, as shown by InvestingPro data, which indicates strong institutional confidence in the stock that has delivered an impressive 143% return over the past year. Poser expressed optimism about the company’s long-term prospects, highlighting improvements in customer retention and expressing confidence in the newly appointed Interim CEO’s ability to accelerate the company’s progress.
According to Poser, the leadership of Mr. Hazlet, Boot Barn’s interim CEO who is set to take on the role permanently, is anticipated to drive a rapid evolution in the company’s consumer focus while leveraging Boot Barn’s operational strengths. The analyst anticipates that under Hazlet’s direction, the company will implement more localized and targeted marketing strategies and tailor merchandise assortments to better suit local preferences. The company’s strong financial health score and 8.31% revenue growth, as reported by InvestingPro, suggest a solid foundation for these strategic initiatives.
Furthermore, the report suggests that Mr. Hazlet plans to streamline Boot Barn’s merchandise assortment by approximately 20%, concentrating on deeper quantities of key items. This strategy is expected to contribute to sustained same-store sales (SSS) and margin growth, as well as improve inventory turnover.
Poser’s comments underline the belief that these strategic moves will not only enhance the customer experience but also lead to more efficient operations and stronger financial performance for Boot Barn in the future. The reaffirmed price target of $200.00 reflects the analyst’s conviction in the company’s potential for continued success.
In other recent news, Boot Barn Holdings Inc. has been the subject of analyst attention, with JPMorgan raising its stock target to $209 and maintaining an Overweight rating. This follows the company’s third-quarter earnings per share (EPS) of $2.43, driven by an 8.6% increase in same-store sales and a gross margin expansion of 100 basis points year-over-year to 39.3%. The company’s management has also provided guidance for the fourth quarter, expecting an EPS between $1.17 and $1.26.
Further insights include plans for a 15% annual growth in new store units through fiscal year 2026, expected to contribute approximately $3 million in average unit volumes. Boot Barn’s CFO, Greg Hackman, also pointed to an opportunity for merchandise margin expansion and operating margin improvement that could result in high-teens EPS growth into fiscal year 2026. Based on these projections, JPMorgan has raised its EPS forecasts for fiscal years 2025 and 2026.
Despite these positive developments, Boot Barn’s shares slid 7% after its future guidance fell short of analyst estimates. The company reported robust third-quarter results, with a revenue increase of 16.9% year-on-year to $608.2 million, and an 8.6% rise in same-store sales. For the full fiscal year 2025, Boot Barn anticipates an EPS of $5.81-$5.90 and revenue in the range of $1.91-1.92 billion.
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