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Tilly's (TLYS) Outpaces Stock Market Gains: What You Should Know

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Tilly's (TLYS - Free Report) closed at $8.96 in the latest trading session, marking a +1.13% move from the prior day. The stock outpaced the S&P 500's daily gain of 0.57%. Elsewhere, the Dow gained 0.7%, while the tech-heavy Nasdaq added 0.08%.

Heading into today, shares of the clothing and accessories retailer had lost 4.42% over the past month, outpacing the Retail-Wholesale sector's loss of 7.64% and the S&P 500's loss of 5.26% in that time.

Wall Street will be looking for positivity from Tilly's as it approaches its next earnings report date. On that day, Tilly's is projected to report earnings of $0.03 per share, which would represent a year-over-year decline of 91.67%. Our most recent consensus estimate is calling for quarterly revenue of $145.79 million, down 10.65% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $1.07 per share and revenue of $721.6 million, which would represent changes of -48.06% and -6.97%, respectively, from the prior year.

Investors should also note any recent changes to analyst estimates for Tilly's. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

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.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Tilly's is currently sporting a Zacks Rank of #5 (Strong Sell).

Investors should also note Tilly's's current valuation metrics, including its Forward P/E ratio of 8.3. Its industry sports an average Forward P/E of 9.03, so we one might conclude that Tilly's is trading at a discount comparatively.

The Retail - Apparel and Shoes industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 93, which puts it in the top 37% 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.

You can find more information on all of these metrics, and much more, on Zacks.com.


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