Crypto Whales Are Loading Up — Are You?
New research shows the biggest crypto buyers are back. And this time? They could hold for the possibility that Bitcoin will surpass $100,000 in 2024. You don’t want to miss the next massive crypto bull run like we saw in 2020 and 2021. To know exactly what’s going on and what to buy… Get Access To Benzinga’s Best Crypto Research and Investments For Only $1.
Chico's FAS, Inc. (NYSE: CHS) reported a Q2 beat, with sales and margins ahead of expectations. The company represents an “under-owned name” with low expectations, RBC Capital Markets’ Brian Tunick said in a report. He reiterated an Outperform rating on the company, while raising the price target from $13 to $14.
Quarterly Beat
ENTER TO WIN $500 IN STOCK OR CRYPTO
Enter your email and you'll also get Benzinga's ultimate morning update AND a free $30 gift card and more!
Chico’s FAS reported its adjusted EPS at $0.25, higher than the consensus estimate of $0.22. Sales declined 3.6 percent to $636 million, but came in ahead of the Street’s $632 million. The company’s EBIT margin came in at 8.5 percent, down from last year’s 9.2 percent, but beating the Street’s 7.4 percent, analyst Tunick mentioned.
Cushion For Meeting EBIT Margin Target
Chico’s FAS is creating a cost-cutting cushion to achieve its low-double-digit EBIT margin target, versus the 6.6 percent achieved in 2015, Tunick noted. CEO Broader announced another $25 million in cost savings, apart from the $65-$85 million announced in the prior quarter.
Positives
The EPS estimate for 2016 has been raised from $0.66 to $0.68. The analyst commented that Chico’s FAS was an “under-owned name w/lower expectations into 2Q16 print.” He enumerated the catalysts for the company as:
- Lower expectations for 2H16 comp and GM
- Cleaner inventory
- Self-help for 2H16-2017 margin
- September 28 analyst day
Do you have ideas for articles/interviews you'd like to see more of on Benzinga? Please email feedback@benzinga.com with your best article ideas. One person will be randomly selected to win a $20 Amazon gift card!
Crypto Whales Are Loading Up — Are You?
New research shows the biggest crypto buyers are back. And this time? They could hold for the possibility that Bitcoin will surpass $100,000 in 2024. You don’t want to miss the next massive crypto bull run like we saw in 2020 and 2021. To know exactly what’s going on and what to buy… Get Access To Benzinga’s Best Crypto Research and Investments For Only $1.