Evercore ISI Reaffirms Outperform on Burlington Stores (BURL), Lowers Price Target

Evercore ISI reiterated an ‘Outperform’ rating on Burlington Stores, Inc.  (NYSE:BURL) on May 29. However, the research firm cut the price target to $310 from $345. The price cut follows the company delivering flat, same-store sales figures for its first quarter, below the projected 1% increase.

A close-up of a customer trying on a piece of apparel in the retailer’s spacious dressing room, emphasizing the company’s focus on personal care and experience.

Burlington Stores delivered earnings per share of $1.67, better than the $1.43 expected. It was also significantly higher than the company’s guidance, which projected EPS of between $1.30 and $1.45. Revenue in the quarter was up 6% year-over-year to $2.5 billion but missed estimates of $2.52 billion.

In addition, the analyst firm remains bullish about Burlington Stores as it has demonstrated solid revenue growth of 9.34% over the last 12 months. It has also announced plans to open 100 new stores in 2025. It also plans to acquire 46 leases from Jo Ann Fabrics as part of an aggressive expansion plan.

The retailer has aggressively pushed for cost savings while mitigating tariff impact. The efforts are part of the company’s bid to distinguish itself from competitors like Ross Stores. Burlington Stores’ management remains cautious about the uncertain consumer outlook for the rest of the year. Industry peers have also adopted a careful stance, withdrawing their full-year forecasts.

Burlington Stores is an off-price retailer that sells various brand-name merchandise at discounted prices. It offers apparel, accessories, beauty products, home goods, toys, and gifts, all at “Everyday Low Prices.”

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Disclosure: None.