Retail Sector Gears Up For Earnings Week: Leveraging Consumer Data For Strategic Trading

As the earnings season for the retail sector heats up this week, many brick-and-mortar giants are set to issue quarterly reports. Leveraging data from Placer.ai, investors and traders can be better prepared to potentially trade the prints.

Urban Outfitters, Inc URBN

Earnings Expectation: Analysts expect Urban Outfitters to issue earnings of 89 cents per share on revenues of $1.25 billion when the company reports earnings on Tuesday after market close, according to Benzinga Pro.

Placer.ai data suggests 2022 may have been the bottom for Urban Outfitters, as it saw a -10% decline in comparable-store sales and an annual total of $1.5 billion in sales, but issued upbeat earnings in the first quarter with 56 cents per share on revenues of $1.11 billion.

More to that, prominent retail analyst Telsey Advisory Group has a Buy rating on the stock, with a $41 price target.

Macy’s Inc M

Earnings Expectation: Investors expect Macy’s to issue earnings of 13 cents per share on revenues of $5.09 billion on Tuesday before market open.

Macy’s continues its transformative journey, notably with its Backstage off-price format, which now spans over 300 locations, according to Placer.ai. Since 2021, Macy's overall visit growth has been on an upward trajectory. Importantly, locations that house a Backstage component are leading the growth, underlining the significance of the off-price market for Macy's future.

Telsey reiterated a Market Perform rating on Macy's with a $16 price target.

Kohl’s Corp KSS

Earnings Expectation: Kohl’s is expected to report earnings of 22 cents per share on revenues of $3.69 billion on Wednesday before market open.

Kohl’s kicked off 2023 with promising year-over-year visits, Placer.ai said. The successful integration of Sephora shop-in-shops and the overall increase in visits to Kohl’s outlets were noteworthy achievements in its report. Even when accounting for the Omicron-driven dip in 2022, the brand’s visitation metrics were impressive, outpacing the broader Mid-Tier Department Store category.

Telsey reiterated a Market Perform rating on the stock with a $24 price target.

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Foot Locker Inc FL

Earnings Expectation: The Street expects Foot Locker to issue earnings of 4 cents per share on revenues of $1.88 billion on Wednesday before market open.

Placer.ai said 2023 is a recalibration year for Foot Locker. Aiming to revamp its identity, the company anticipates a downswing in comparable-store sales, square footage, and profits. Yet, the vision for the next three years is bright, Placer.ai said, with aggressive growth plans in place. Key to the vision is the reshaping of the store portfolio and an ambitious push into digital, aiming to decrease delivery times and modernize its omnichannel architecture.

Telsey reiterated an Outperform rating on the stock with a $36 price target.

Ulta Beauty Inc ULTA

Earnings Expectation: Investors expect Ulta to report earnings of $5.83 per share on revenues of $2.51 billion on Thursday after market close.

Ulta Beauty is continuing its stellar trajectory, driven by consistent year-over-year visit growth, Placer.ai's data suggests. Its resilience is evident from its broad consumer appeal, catering to both the luxury and value segments.

Data shows the brand’s magnetic pull for college students and the "Pets&EmptyNests" demographic segment.

Telsey reiterated an Outperform rating on the stock with a $600 price target.

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