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What: Shares of fashion retailer The Buckle
So what: From the "better than the very low expectations" file came today's sales reports from U.S. retailers. While analysts were looking for weak numbers, most companies, including Costco
And what of Buckle? Analysts were expecting the chain to show a same-store sales decline of 1.2%, and they weren't even close. Sales for stores open at least a year for the five weeks ending April 2 were up 8.4%.
Now what: Could the death of the consumer just be an ugly rumor? Today's numbers from around the retail world make it look like they're at least giving it a Rocky-like effort ("Get up ... 'cause Mickey loves ya!"). As for Buckle, the sales numbers are certainly a good sign, but it's hard to take away too much from a single five-week snapshot. Investors are currently paying roughly 15 times forward earnings for the stock, which is probably a pretty reasonable price if the company is really finding some more fuel in its growth engine.
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