Why Express Shares Soared

Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: Shares of specialty apparel retailer Express (NYSE: EXPR  ) climbed 10% today after the company's quarterly results and outlook topped Wall Street expectations.

So what: Express' first-quarter profit fell 23% on continued discounting and higher costs, but it was still better than Wall Street had expected, suggesting that things are starting to turn. In fact, the company said that shoppers are responding rather enthusiastically to its spring merchandise, giving investors plenty of good vibes over its near-term prospects.

Now what: Management now sees full-year EPS of $1.48-$1.58, up nicely from its prior view of $1.40-$1.54 per share.

"The direction the business is heading is positive," said Chairman and CEO Michael Weiss. "As we start the second quarter, momentum in the business is on the upswing, and conversion, which we often cite as a leading indicator of the business, has been building since relatively early in the first quarter."

Of course, with the stock now up about 100% from its 52-week lows and sporting a P/E in the mid-teens, I'd wait for some of trading momentum to slow before buying into that bullishness.

Interested in more info on Express? Add it to your watchlist.


Read/Post Comments (0) | Recommend This Article (0)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2461538, ~/Articles/ArticleHandler.aspx, 10/25/2014 12:08:18 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated 14 hours ago Sponsored by:
DOW 16,805.41 127.51 0.76%
S&P 500 1,964.58 13.76 0.71%
NASD 4,483.72 30.92 0.69%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

10/24/2014 4:02 PM
EXPR $14.09 Down -0.43 -2.96%
Express CAPS Rating: ***

Advertisement