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Dillard's (DDS) Dips More Than Broader Markets: What You Should Know

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Dillard's (DDS - Free Report) closed the most recent trading day at $368.51, moving -1.68% from the previous trading session. This change lagged the S&P 500's 0.07% loss on the day. Elsewhere, the Dow gained 0.31%, while the tech-heavy Nasdaq lost 3.22%.

Coming into today, shares of the department store operator had gained 17.67% in the past month. In that same time, the Retail-Wholesale sector gained 8.58%, while the S&P 500 gained 4.64%.

Dillard's will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $8.85, down 43.56% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $2.11 billion, down 0.11% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $41.85 per share and revenue of $6.89 billion, which would represent changes of +4.49% and +6.04%, respectively, from the prior year.

Investors might also notice recent changes to analyst estimates for Dillard's. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

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. Within the past 30 days, our consensus EPS projection has moved 0.03% lower. Dillard's is currently a Zacks Rank #3 (Hold).

Digging into valuation, Dillard's currently has a Forward P/E ratio of 8.95. Its industry sports an average Forward P/E of 8.95, so we one might conclude that Dillard's is trading at a no noticeable deviation comparatively.

The Retail - Regional Department Stores industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 103, which puts it in the top 41% 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.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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