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On September 08, 2026, Burlington Stores Inc BURL shares fell 3.7%, closing at $255.42. This decline marks a significant drop over the past month, with shares down 30.8%, and the stock is trading within a 52-week range of $240.49 to $378.33.

GF Value™ verdict: BURL is currently trading at $255.42, representing a 16.8% discount to its GF Value™ of $307.06.GF Score™ stands at 86/100, indicating a strong overall ranking.Insiders sold $16.4M worth of shares over the past 12 months, with no buying activity.Is BURL Overvalued or Undervalued?With a current trading price of $255.42 and a GF Value™ of $307.06, Burlington Stores Inc is classified as modestly undervalued, presenting a margin of safety of 16.8%. The GF Value™ is GuruFocus' proprietary estimate of intrinsic value, which considers historical trading multiples, past business growth, and future performance projections. This suggests that the market may not fully appreciate the company's potential, providing a buying opportunity for investors.

However, while the stock appears to be undervalued, investors should approach with caution given recent performance trends and the lack of insider buying—an important consideration for assessing confidence in the company's future. The GF Valuation label indicates that while there is potential upside, the market sentiment has shown some weakness, emphasizing the need for diligence in evaluating the investment's long-term prospects.

How Does BURL's Valuation Compare to Its History?MetricCurrentHistoricalP/E (TTM)22.9x38.0x (5-Year Median)Forward P/E21.6x-Burlington's current P/E ratio of 22.9x is significantly below its 5-year median of 38.0x, indicating that the stock is trading at a lower valuation compared to its historical averages. This P/E analysis aligns with the GF Value™ verdict that suggests the stock is undervalued, reinforcing the notion that investors may find a favorable entry point at this price level.

What Does BURL's GF Score™ Tell Us?The GF Score™ provides a comprehensive measure of a company's financial health, performance, and valuation. Burlington's score of 86/100 showcases its strong position relative to its peers, with standout performance in valuation and momentum metrics.

MetricRatingGF Score™86Financial Strength5/10Profitability8/10Growth7/10Valuation10/10Momentum10/10The strongest aspects of Burlington's score lie in its valuation and momentum, both rated at 10/10, indicating favorable conditions for price appreciation. Conversely, the financial strength score of 5/10 suggests that while the company is profitable and growing, there may be areas of concern regarding its financial robustness that investors should monitor closely.

What Are Gurus and Insiders Doing with BURL?Currently, 4 gurus hold positions in Burlington Stores Inc, with 4 increasing their stakes while 1 has trimmed their position in recent quarters. This indicates a generally positive sentiment among institutional investors, which can be a sign of confidence in the stock's potential. However, the insider activity reveals a different narrative, as insiders sold $16.4 million worth of stock over the past year with no reported purchases. This pattern of insider selling may raise red flags about the company’s near-term outlook and could reflect apprehension among those closest to the company's operations.

What This Means for InvestorsBased on the analysis of the GF Value™, BURL is considered undervalued, with a significant upside potential given its current price relative to its estimated fair value. However, potential investors should weigh this opportunity against the recent trends in insider selling and the company's financial strength metrics, suggesting a cautious approach might be warranted. For a more detailed analysis, visit the Burlington Stores Inc BURL stock page to explore the latest insights.

Frequently Asked QuestionsWhat is BURL's GF Score™?

BURL's GF Score™ is 86 out of 100, indicating a strong overall performance relative to its peers.

Is BURL overvalued or undervalued?

BURL is currently undervalued, trading 16.8% below its GF Value™ of $307.06.

What is BURL's P/E ratio?

BURL's P/E ratio is 22.9x, which is 40% below its 5-year median of 38.0x, indicating that it is trading at a lower valuation compared to its historical averages.

This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].

Disclosures I/We may personally own shares in some of the companies mentioned above. However, those positions are not material to either the company or to my/our portfolios.

Any investor looking for a bargain might have a natural home in Burlington Stores Inc. NYSE: BURL, the off-price retailer whose whole appeal rests on selling brand-name goods for less. There’s a certain irony in the fact that its own shares have been selling off heavily in recent weeks, and are currently down more than 30% from the all-time high they set in July.

Burlington Stores Today

BURL

Burlington Stores

$252.94 -4.14 (-1.61%)

As of 10:16 AM Eastern

This is a fair market value price provided by Massive. Learn more.

$240.49▼

$378.3322.75

$370.75

The sell-off has pushed one of the stock’s technical momentum indicators to an extreme. Burlington’s relative strength index (RSI) has sunk to around 17, its lowest reading in several years. For context, the last time it was this washed out was during the COVID-era market crash, and, interestingly, from those depths the shares went on to rally a remarkable 230%.

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That history raises a tantalizing question for investors. With sentiment this bleak and the stock this oversold, is Burlington suddenly the very kind of bargain its own shoppers are always hunting for?

To answer that, you have to understand what triggered the slump in the first place.

Why the Shares SlumpedShares were already falling ahead of last week's earnings report, and the numbers did little to stem the bleeding. The results themselves were, in many respects, fine. The company beat analyst expectations for both headline revenue and earnings per share, but the trouble lay in the accompanying outlook, specifically what it implied for profits.

Burlington Stores, Inc. (BURL) Price Chart for Thursday, September, 3, 2026

The truth is the shares had probably run too hard, too fast. Having been sent up more than 30% in the space of a single month, a heady pace for a steady discount retailer, the stock was ripe for some profit-taking, and that is exactly what began ahead of last week's report. The disappointing outlook then simply gave the sellers a fresh reason to keep going.

The core sticking point was guidance for the current quarter, with management expecting earnings per share to land between $1.60 and $1.70. This wasn't just below the $1.80 it was at for the same quarter last year, it was also well below the $2.03 consensus estimate. The company is also expecting a squeeze on margins driven by stubbornly high costs of sourcing its merchandise. For a market that had been busy bidding the shares up to record highs, any hint of shrinking profitability was always going to sting.

The More Encouraging ReadingYet dig a little deeper, and the picture is far less gloomy than that violent post-earnings price reaction suggests. Crucially, while the near-term guidance disappointed, Burlington actually raised its full-year forecast, hardly the act of a management team bracing for trouble.

The margin story, too, is more nuanced than it first appears. Much of the near-term pressure stems from a deliberate choice rather than a deterioration in the business. Burlington received a $55 million tariff refund, and rather than banking it as extra profit, management is reinvesting it in sharper prices for shoppers, sacrificing a little short-term margin to strengthen its value proposition and drive future sales.

That is a strategic decision, and it points to a confident retailer playing the longer game. For a business whose entire model depends on offering unbeatable value, spending to reinforce exactly that looks less like weakness and more like shrewd planning.

Could History Repeat?So where does that leave the bargain hunters? This is where the technical setup becomes hard to ignore. An RSI down around 17 marks the stock as deeply oversold, the kind of extreme that often flags a selling low point rather than the start of a fresh leg lower. Given that the business raised its longer-term guidance, the current setup is hard to ignore from a pure risk/reward standpoint.

Indeed, investors need only look to Goldman Sachs, which recently reiterated its Buy rating on Burlington with a refreshed $382 price target, implying nearly 45% upside from current levels, to get a sense of the opportunity on offer.

The parallel with the COVID-era plunge only sharpens the point. The last time Burlington's RSI was down this low, the shares went on to rally more than 200% from their lows. History rarely repeats itself quite so neatly, but it does often rhyme.

Weighing Up the OpportunityWhile the broader macro situations are entirely different, the ingredients that made the stock a bargain back then are largely present again: a fundamentally healthy retailer, sold off hard on a near-term wobble, with its full-year guidance actually rising and sentiment about as bleak as it gets.

There is, of course, a chance that Burlington shares could yet fall further before they turn, and the company’s performance will be more closely scrutinized than usual in the coming months. But for investors willing to look past a single quarter's cautious guidance, this looks like one of those rare moments when the discount retailer is trading at a serious discount itself.

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Off-price clothing retailer Burlington is the latest company using tariff refunds to reduce prices. “It feels like the right thing to do for our customers,” CEO Michael O'Sullivan said on the company's earnings call last week.

Total sales increased 11%, on top of 10% last yearComparable store sales increased 2%, on top of 5% last yearNet income was $184 million, and diluted EPS was $2.88Excluding tariff refunds and certain expenses associated with bankruptcy acquired leases:   Adjusted EPS increased 38% to $2.37, on top of a 39% increase last yearAdjusted EBIT margin increased 100 basis points versus last yearIncreasing full year Adjusted EPS guidance to $11.77 to $11.97 BURLINGTON, N.J., Aug. 27, 2026 (GLOBE NEWSWIRE) -- Burlington Stores, Inc. (NYSE: BURL), a nationally recognized off-price retailer of high-quality, branded apparel, footwear, accessories, and merchandise for the home at everyday low prices, today announced its results for the second quarter ended August 1, 2026.

Michael O’Sullivan, CEO, stated, “We are pleased with our strong financial performance in the second quarter, Total sales grew 11% on top of a strong 10% increase last year. Comp store sales increased 2% on top of 5% last year, for a solid 7% two-year stack. Excluding the impact of tariff refunds, Adjusted EPS grew 38% versus the second quarter of last year, on top of a 39% increase in the prior year. This was driven by a 100 basis point increase in our operating margin. This represented our 15th consecutive quarter of double digit EPS growth, reflecting our ability to consistently convert sales growth into margin expansion and exceptional earnings growth.”

Mr. O’Sullivan continued, “During the second quarter, we received $55 million in tariff refunds. Rather than taking a one-time boost to earnings, we intend to fully invest these refunds back into the business in the back-half of the year, to deliver even sharper values to our shoppers. Over the last few years, the rising cost of living has made life difficult for many customers. At Burlington, we already offer great deals. We plan to use the refunds to make these deals even better.”

Mr. O’Sullivan continued, “Given our intent to invest the refunds in sharper values, we expect the direct impact of tariff refunds to be neutral to full year earnings. That said, we are raising guidance for the full year, passing through our underlying performance beat from Q2. Our updated Fiscal 2026 guidance is for comp growth of 3% to 4% and EPS growth of 16% to 18%.”

Fiscal 2026 Second Quarter Operating Results 

Total sales increased 11% compared to the second quarter of Fiscal 2025 to $2,998 million, while comparable store sales increased 2% compared to the second quarter of Fiscal 2025. Gross margin rate as a percentage of net sales was 46.2% vs. 43.7% for the second quarter of Fiscal 2025, an increase of 250 basis points. Excluding the benefit of $55 million in tariff refunds, merchandise margin expanded 70 basis points, while freight expense increased 10 basis points as a percentage of net sales.Product sourcing costs, which are included in selling, general and administrative expenses (SG&A), were $226 million vs. $209 million in the second quarter of Fiscal 2025. Product sourcing costs include the costs of processing goods through our supply chain and buying costs. SG&A was 34.0% as a percentage of net sales vs 35.2% in the second quarter of Fiscal 2025. Adjusted SG&A, excluding $4 million and $11 million of expenses, respectively, associated with bankruptcy acquired leases, was 26.2% as a percentage of net sales vs. 26.7% in the second quarter of Fiscal 2025. The effective tax rate was 23.9% vs. 26.0% in the second quarter of Fiscal 2025. The Adjusted Effective Tax Rate was 23.6% vs. 26.0% in the second quarter of Fiscal 2025.Net income was $184 million, or $2.88 per share vs. $94 million, or $1.47 per share for the second quarter of Fiscal 2025. Adjusted Net Income, excluding the $41 million after tax benefit of tariff refunds, was $151 million, or $2.37 per share, vs. $110 million, or $1.72 per share for the second quarter of Fiscal 2025; this also excluded $3 million and $8 million, respectively, of expenses in each period, net of tax, associated with bankruptcy acquired leases.  Diluted weighted average shares outstanding amounted to 63.9 million during the quarter compared with 63.9 million during the second quarter of Fiscal 2025. Adjusted EBITDA was $324 million vs. $257 million in the second quarter of Fiscal 2025, which excludes the $55 million benefit of tariff refunds, as well as $4 million and $11 million, respectively, of expenses associated with bankruptcy acquired leases, an increase of 130 basis points as a percentage of sales. Adjusted EBIT was $210 million vs. $162 million in the second quarter of Fiscal 2025, excluding the same amounts, an increase of 100 basis points as a percentage of sales. First Six Months of Fiscal 2026 Results

Total sales increased 12% compared to the first six months of Fiscal 2025. Net income increased 53% compared to the same period in Fiscal 2025 to $299 million, or $4.67 per share vs. $3.05 per share in the prior period. Adjusted EBIT, excluding $12 million and $17 million, respectively, of expenses associated with bankruptcy acquired leases, as well as the $55 million benefit of tariff refunds, was $389 million vs. $314 million in the first six months of Fiscal 2025, an increase of 60 basis points as a percentage of sales. Adjusted Net Income, excluding $9 million and $12 million, respectively, of after-tax expenses associated with bankruptcy acquired leases, as well as the $41 million after-tax benefit of tariff refunds, was $286 million, or $4.46 per share, vs. $217 million, or $3.39 per share for the first six months of Fiscal 2025. Inventory

Merchandise inventories were $1,541 million vs. $1,415 million at the end of the second quarter of Fiscal 2025, a 9% increase, driven by our 149 net new stores and a comparable store inventory increase of 11% compared to the second quarter of Fiscal 2025. Reserve inventory was 43% of total inventory at the end of the second quarter of Fiscal 2026 compared to 50% at the end of the second quarter of Fiscal 2025. Reserve inventory is largely composed of merchandise that is purchased opportunistically and will be sent to stores in future months or next season.  Liquidity and Debt

The Company ended the second quarter of Fiscal 2026 with $1,646 million in liquidity, comprised of $704 million in unrestricted cash and $942 million in availability on its ABL facility.The Company ended the second quarter with $1,914 million in outstanding total debt, including $1,712 million on its Term Loan facility, $186 million in Convertible Notes, and no borrowings on its ABL facility. Common Stock Repurchases

During the second quarter of Fiscal 2026, the Company repurchased 270,279 shares of its common stock under its share repurchase program for $87 million. As of the end of the second quarter of Fiscal 2026, the Company had $218 million remaining on its current share repurchase program authorization. Outlook

Please note that guidance now includes the benefit of $55 million in tariff refunds, which were recognized in the second quarter of fiscal 2026. In addition, guidance also includes the reinvestment of approximately 40% of such refunds in the third quarter and approximately 60% in the fourth quarter of fiscal 2026. Tariff refunds therefore have a neutral impact on full fiscal year 2026 earnings guidance.

Excluding the $55 million planned tariff refund reinvestment, our underlying Fall guidance assumptions for EBIT margin improvement and earnings growth are unchanged versus prior guidance, estimated EBIT margin improvement of 10 to 30 basis points and EPS growth of 7% to 10%. As we noted earlier, we believe it is important to pass on those savings to our customers and drive even stronger value offerings.

For Fiscal Year 2026 (the 52-weeks ending January 30, 2027), the Company now expects:

Total sales to increase in the range of 10% to 11% on top of the 9% increase during Fiscal 2025; this assumes comparable store sales will increase in the range of 3% to 4%, on top of the 2% increase during Fiscal 2025; Capital expenditures, net of landlord allowances, to be approximately $875 million. This excludes any potential costs related to the relocation of our corporate headquarters, which is currently being evaluated. The timing and amount of such relocation expenditures are still uncertain;To open approximately 115 net new stores;  Depreciation and amortization to be approximately $460 million;  Adjusted EBIT margin to increase in the range of 20 to 40 basis points versus Fiscal 2025; excluding $16 million of anticipated expenses associated with bankruptcy acquired leases in Fiscal 2026 and $35 million in Fiscal 2025; Net interest expense to be approximately $55 million;  An Adjusted Effective Tax Rate of approximately 25%; and Adjusted EPS in the range of $11.77 to $11.97, as compared to $10.17 of Adjusted EPS last year; excluding $12 million, net of tax, of anticipated expenses associated with bankruptcy acquired leases in Fiscal 2026 and $26 million in Fiscal 2025. This assumes a fully diluted share count of approximately 64 million shares.  For the third quarter of Fiscal 2026 (the 13-weeks ending October 31, 2026), the Company expects:

Total sales to increase in the range of 9% to 11%; this assumes comparable store sales will increase in the range of 1% to 3% versus the third quarter of Fiscal 2025; Adjusted EBIT margin to decrease 80 to 60 basis points versus the third quarter of Fiscal 2025; excluding approximately $2 million of anticipated expenses associated with bankruptcy acquired leases in the third quarter of Fiscal 2026 and $11 million in the third quarter of Fiscal 2025; An Adjusted Effective Tax Rate of approximately 26%; and  Adjusted EPS in the range of $1.60 to $1.70, as compared to $1.80 in Adjusted EPS last year; excluding $2 million, net of tax, of anticipated expenses associated with bankruptcy acquired leases in the third quarter of Fiscal 2026 and $8 million in the third quarter of Fiscal 2025.  The Company has not provided a quantitative reconciliation of the forward-looking non-GAAP financial measures presented above to the comparable GAAP measures, because doing so would require estimates for items that are inherently difficult to predict and would involve unreasonable effort. These items may include, among others, costs related to debt amendments, losses on debt extinguishment, impairment charges, and the related tax effects. Some of these items could be significant. 

Note Regarding Non-GAAP Financial Measures

The foregoing discussion of the Company’s operating results includes references to Adjusted SG&A, Adjusted EBITDA, Adjusted Net Income, Adjusted Earnings per Share (or Adjusted EPS), Adjusted EBIT (or Adjusted EBIT Margin), and Adjusted Effective Tax Rate. The Company believes these supplemental measures are useful in evaluating the performance of our business and provide greater transparency into our results of operations. In particular, we believe that excluding certain items that may vary substantially in frequency and magnitude from what we consider to be our core operating results are useful supplemental measures that assist investors and management in evaluating our ability to generate earnings and leverage sales, and to more readily compare core operating results between past and future periods. These non-GAAP financial measures are defined and reconciled to the most comparable GAAP measures later in this document.    

Second Quarter 2026 Conference Call

The Company will hold a conference call on August 27, 2026 at 8:30 a.m. ET to discuss the Company’s second quarter results. The U.S. toll free dial-in for the conference call is 1-800-715-9871 (passcode: 3814903) and the international dial-in number is 1-646-307-1963. A live webcast of the conference call will also be available on the investor relations page of the company's website at www.burlingtoninvestors.com.

For those unable to participate in the conference call, a replay will be available after the conclusion of the call on August 27, 2026 beginning at 11:30 a.m. ET through September 3, 2026 11:59 p.m. ET. The U.S. toll-free replay dial-in number is 1-800-770-2030 and the international replay dial-in number is 1-609-800-9909. The replay passcode is 3814903.

About Burlington Stores, Inc.

Burlington Stores, Inc., headquartered in New Jersey, is a nationally recognized off-price retailer with Fiscal 2025 net sales of $11.5 billion. The Company is a Fortune 500 company and its common stock is traded on the New York Stock Exchange under the ticker symbol “BURL.” The Company operated 1,287 stores as of the end of the second quarter of Fiscal 2026 in 47 states, Washington D.C. and Puerto Rico, principally under the name Burlington Stores. The Company’s stores offer an extensive selection of in-season, high-quality branded merchandise at up to 60% off other retailers' prices, including fashion-focused women’s apparel, menswear, youth apparel, baby, beauty, footwear, accessories, home, toys, gifts and coats.  

For more information about the Company, visit www.burlington.com.

Investor Relations Contacts:
David J. Glick
Marisa Sharkey
855-973-8445
[email protected] 

Allison Malkin
ICR, Inc.
203-682-8225

Safe Harbor for Forward-Looking and Cautionary Statements
This release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements other than statements of historical fact included in this release, including those about the external environment, as well as statements describing our outlook for future periods, are forward-looking statements. Forward-looking statements discuss our current expectations and projections relating to our financial condition, results of operations, plans, objectives, future performance and business. You can identify forward-looking statements by the fact that they do not relate strictly to historical or current facts. We do not undertake to publicly update or revise our forward-looking statements, except as required by law, even if experience or future changes make it clear that any projected results expressed or implied in such statements will not be realized. If we do update one or more forward-looking statements, no inference should be made that we will make additional updates with respect to those or other forward-looking statements. All forward-looking statements are subject to risks and uncertainties that may cause actual events or results to differ materially from those we expected, including general economic conditions, such as inflation, and the domestic and international political situation and the related impact on consumer confidence and spending; competitive factors, including the scale and potential consolidation of some of our competitors, rise of e-commerce spending, pricing and promotional activities of major competitors, and an increase in competition within the markets in which we compete; seasonal fluctuations in our net sales, operating income and inventory levels; the reduction in traffic to, or the closing of, the other destination retailers in the shopping areas where our stores are located; our ability to identify changing consumer preferences and demand; our ability to meet evolving regulatory requirements and stakeholder expectations regarding environmental, social or governance matters; extreme and/or unseasonable weather conditions caused by climate change or otherwise adversely impacting demand; effects of public health crises, epidemics or pandemics; our ability to sustain our growth plans or successfully implement our long-range strategic plans; our ability to execute our opportunistic buying and inventory management process; our ability to optimize our existing stores or maintain favorable lease terms; the availability, selection and purchasing of attractive brand name merchandise on favorable terms; our ability to attract, train and retain quality employees and temporary personnel in sufficient numbers; labor costs and our ability to manage a large workforce; the solvency of parties with whom we do business and their willingness to perform their obligations to us; import risks, including tax and trade policies, tariffs and government regulations; disruption in our distribution network; our ability to protect our information systems against service interruption, misappropriation of data, breaches of security, or other cyber-related attacks; risks related to the methods of payment we accept; the success of our advertising and marketing programs in generating sufficient levels of customer traffic and awareness; damage to our corporate reputation or brand; impact of potential loss of executives or other key personnel; our ability to comply with existing and changing laws, rules, regulations and local codes; lack of or insufficient insurance coverage; issues with merchandise safety and shrinkage; our ability to comply with increasingly rigorous privacy and data security regulations; impact of legal and regulatory proceedings relating to us; use of social media by us or by third parties at our direction in violation of applicable laws and regulations; our ability to generate sufficient cash to fund our operations and service our debt obligations; our ability to comply with covenants in our debt agreements; the consequences of the possible conversion of our convertible notes; our reliance on dividends, distributions and other payments, advance and transfers of funds from our subsidiaries to meet our obligations; the volatility of our stock price; the impact of the anti-takeover provisions in our governing documents; impact of potential shareholder activism; and each of the factors that may be described from time to time in our filings with the U.S. Securities and Exchange Commission, including under the heading “Risk Factors” in our most recent Annual Report on Form 10-K. For each of these factors, the Company claims the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995, as amended.

 BURLINGTON STORES, INC.
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(unaudited)
(All amounts in thousands, except per share data)  Three Months Ended Six Months Ended  August 1, August 2, August 1, August 2,  2026 2025 2026 2025 REVENUES:        Net sales$2,997,778 $2,701,026 $5,850,088 $5,201,101 Other revenue 4,485  4,045  8,636  7,991 Total revenue 3,002,263  2,705,071  5,858,724  5,209,092 COSTS AND EXPENSES:        Cost of sales 1,614,011  1,519,629  3,208,815  2,924,720 Selling, general and administrative expenses 1,019,173  949,931  2,008,547  1,817,989 Costs related to debt amendments and inducement charges — —  15,315  112 Depreciation and amortization 114,022  94,810  218,630  186,593 Impairment charges - long-lived assets 3,577  1,580  4,385  2,095 Other income - net (4,156) (1,506) (5,607) (7,016)Interest income (6,140) (4,124) (12,301) (8,834)Interest expense 19,659  17,427  36,154  33,237 Total costs and expenses 2,760,146  2,577,747  5,473,938  4,948,896 Income before income tax expense 242,117  127,324  384,786  260,196 Income tax expense 57,813  33,139  85,738  65,178 Net income$184,304 $94,185 $299,048 $195,018          Diluted net income per common share$2.88 $1.47 $4.67 $3.05          Weighted average common shares - diluted 63,896  63,893  64,022  63,966   BURLINGTON STORES, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(unaudited)
(All amounts in thousands)  August 1, January 31, August 2,  2026 2026 2025 ASSETS      Current assets:      Cash and cash equivalents$703,686 $1,232,525 $747,619 Accounts receivable—net 128,087  105,296  111,236 Merchandise inventories 1,541,344  1,311,903  1,414,814 Assets held for disposal 2,579  3,364  417 Prepaid and other current assets 214,546  118,444  299,960 Total current assets 2,590,242  2,771,532  2,574,046 Property and equipment—net 3,389,646  3,164,218  2,836,035 Operating lease assets 3,674,007  3,624,786  3,542,956 Goodwill and intangible assets—net 285,064  285,064  285,064 Deferred tax assets 2,139  2,139  2,248 Other assets 102,757  71,318  68,914 Total assets$10,043,855 $9,919,057 $9,309,263 LIABILITIES AND STOCKHOLDERS' EQUITY      Current liabilities:      Accounts payable$1,108,717 $1,019,152 $1,024,320 Current operating lease liabilities 448,652  425,468  392,865 Other current liabilities 632,393  734,000  656,713 Current maturities of long term debt and other current debt 20,144  70,591  19,896 Total current liabilities 2,209,906  2,249,211  2,093,794 Long term debt 1,893,411  2,011,735  2,019,409 Long term operating lease liabilities 3,543,910  3,497,343  3,406,543 Other liabilities 74,723  75,738  77,097 Deferred tax liabilities 319,657  277,771  265,603 Stockholders' equity 2,002,248  1,807,259  1,446,817 Total liabilities and stockholders' equity$10,043,855 $9,919,057 $9,309,263   BURLINGTON STORES, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(unaudited)
(All amounts in thousands)
  Six Months Ended  August 1, August 2,  2026 2025 OPERATING ACTIVITIES    Net income$299,048 $195,018 Adjustments to reconcile net income to net cash provided by operating activities        Depreciation and amortization 218,630  186,593 Deferred income taxes 35,564  15,671 Non-cash stock compensation expense 68,416  54,264 Non-cash lease expense (4,917) (2,534)Cash received from landlord allowances 28,257  13,570 Inducement charges 15,315  — Changes in assets and liabilities:    Accounts receivable (23,989) (23,343)Merchandise inventories (229,441) (164,039)Accounts payable 95,486  (17,276)Other current assets and liabilities (177,653) (103,754)Other long term assets and liabilities 2,277  (1,981)Other operating activities 7,631  (1,657)Net cash provided by operating activities 334,624  150,532 INVESTING ACTIVITIES    Cash paid for property and equipment (532,384) (589,241)Lease acquisition costs (5,126) (19,942)Net (removal costs) proceeds from sale of property and equipment and assets held for sale (204) 27,769 Net cash used in investing activities (537,714) (581,414)FINANCING ACTIVITIES    Proceeds from long term debt—ABL Line of Credit —  150,000 Principal payments on long term debt—ABL Line of Credit —  (150,000)Proceeds from long term debt—Term Loan Facility —  495,000 Principal payments on long term debt—Term Loan Facility (8,763) (7,506)Principal payment on long term debt— Convertible Notes (128,638) (156,158)Purchase of treasury shares (222,295) (154,883)Other financing activities 33,947  7,350 Net cash (used in) provided by financing activities (325,749) 183,803 Decrease in cash and cash equivalents (528,839) (247,079)Cash and cash equivalents at beginning of period 1,232,525  994,698 Cash and cash equivalents at end of period$703,686 $747,619   Reconciliation of Non-GAAP Financial Measures
(Unaudited)
(Amounts in thousands, except per share data)
  The following tables calculate the Company’s Adjusted Net Income, Adjusted EPS, Adjusted EBITDA, Adjusted EBIT, Adjusted SG&A and Adjusted Effective Tax Rate, all of which are considered non-GAAP financial measures. Generally, a non-GAAP financial measure is a numerical measure of a company’s performance, financial position or cash flows that either excludes or includes amounts that are not normally excluded or included in the most directly comparable measure calculated and presented in accordance with GAAP.

Adjusted Net Income is defined as net income, exclusive of the following items, if applicable: (i) net favorable lease costs; (ii) costs related to debt amendments and inducement charges; (iii) impairment charges; (iv) amounts related to certain litigation matters; and (v) other unusual or non-recurring expenses, losses, charges or gains, all of which are tax effected to arrive at Adjusted Net Income.

Adjusted EPS is defined as Adjusted Net Income divided by the diluted weighted average shares outstanding, as defined in the table below.

Adjusted EBITDA is defined as net income, exclusive of the following items, if applicable: (i) interest expense; (ii) interest income; (iii) costs related to debt amendments and inducement charges; (iv) income tax expense; (v) depreciation and amortization; (vi) net favorable lease costs (vii) impairment charges; (viii) amounts related to certain litigation matters; and (ix) other unusual or non-recurring expenses, losses, charges or gains.

Adjusted EBIT (or Adjusted Operating Income) is defined as net income, exclusive of the following items, if applicable: (i) interest expense; (ii) interest income; (iii) costs related to debt amendments and inducement charges; (iv) income tax expense; (v) impairment charges; (vi) net favorable lease costs; (vii) amounts related to certain litigation matters; and (viii) other unusual or non-recurring expenses, losses, charges or gains.

Adjusted EBIT Margin (or Adjusted Operating Margin) is defined as Adjusted EBIT divided by net sales.

Adjusted SG&A is defined as SG&A less product sourcing costs, favorable lease costs and amounts related to certain litigation matters.

Adjusted Effective Tax Rate is defined as the GAAP effective tax rate less the tax effect of the reconciling items to arrive at Adjusted Net Income (footnote (f) in the table below).

The Company presents Adjusted Net Income, Adjusted EPS, Adjusted EBITDA, Adjusted EBIT (or Adjusted Operating Income), Adjusted EBIT Margin (or Adjusted Operating Margin), Adjusted SG&A and Adjusted Effective Tax Rate, because it believes they are useful supplemental measures in evaluating the performance of the Company’s business and provide greater transparency into the results of operations. In particular, the Company believes that excluding certain items that may vary substantially in frequency and magnitude from what the Company considers to be its core operating results are useful supplemental measures that assist in evaluating the Company’s ability to generate earnings and leverage sales, and to more readily compare core operating results between past and future periods.

The Company believes that these non-GAAP measures provide investors helpful information with respect to the Company’s operations and financial condition. Other companies in the retail industry may calculate these non-GAAP measures differently such that the Company’s calculation may not be directly comparable.

The following table shows the Company’s reconciliation of net income to Adjusted Net Income and Adjusted EPS for the periods indicated:

 (unaudited) (in thousands, except per share data) Three Months Ended Six Months Ended August 1, August 2, August 1, August 2,  2026 2025 2026 2025 Reconciliation of net income to Adjusted Net Income:        Net income$184,304 $94,185 $299,048 $195,018 Net favorable lease costs (a) 2,047  1,932  3,849  4,070 Costs related to debt amendments and inducement charges (b) — —  15,315  112 Impairment charges - long-lived assets 3,577  1,580  4,385  2,095 Litigation matters (c) —  6,750  750  6,334 Tax effect (f) (655) (2,690) (5,179) (3,290)Adjusted Net Income$189,273 $101,757 $318,168 $204,339 Diluted weighted average shares outstanding (g) 63,896  63,893  64,022  63,966 Adjusted Earnings per Share$2.96 $1.59 $4.97 $3.19 
The following table shows the Company’s reconciliation of net income to Adjusted EBIT and Adjusted EBITDA for the periods indicated:

 (unaudited)  (in thousands)  Three Months EndedSix Months Ended  August 1, August 2, August 1, August 2,  2026 2025 2026 2025 Reconciliation of net income to Adjusted EBIT and Adjusted EBITDA:        Net income$184,304 $94,185 $299,048 $195,018 Interest expense 19,659  17,427  36,154  33,237 Interest income (6,140) (4,124) (12,301) (8,835)Net favorable lease costs (a) 2,047  1,932  3,849  4,070 Costs related to debt amendments and inducement charges (b) — —  15,315  112 Impairment charges - long-lived assets 3,577  1,580  4,385  2,095 Litigation matters (c) —  6,750  750  6,334 Income tax expense 57,813  33,139  85,738  65,178 Adjusted EBIT 261,260  150,889  432,938  297,209 Depreciation and amortization 114,022  94,810  218,630  186,593 Adjusted EBITDA$375,282 $245,699 $651,568 $483,802 
The following table shows the Company’s reconciliation of SG&A to Adjusted SG&A for the periods indicated:

 (unaudited)  (in thousands)  Three Months EndedSix Months Ended  August 1, August 2, August 1, August 2,  2026 2025 2026 2025 Reconciliation of SG&A to Adjusted SG&A:        SG&A$1,019,173 $949,931 $2,008,547 $1,817,989 Net favorable lease costs (a) (2,047) (1,932) (3,849) (4,070)Product sourcing costs (225,886) (208,982) (441,469) (405,829)Litigation matters (c) —  (6,750) (750) (6,334)Adjusted SG&A$791,240 $732,267 $1,562,479 $1,401,756 
The following table shows the reconciliation of the Company’s effective tax rates on a GAAP basis to the Adjusted Effective Tax Rates for the periods indicated:

 (unaudited)  Effective Tax Rates  Three Months Ended Six Months Ended  August 1, August 2, August 1, August 2,  2026 2025 2026 2025          Effective tax rate on a GAAP basis 23.9% 26.0% 22.3% 25.0%Adjustments to arrive at Adjusted Effective Tax Rate (h) (0.3) —  (0.1) 0.1 Adjusted Effective Tax Rate 23.6% 26.0% 22.2% 25.1%
The following table shows the Company’s reconciliation of net income to Adjusted Net Income for the prior period Adjusted EPS amounts used in this press release for the periods indicated:

 (unaudited)  (in thousands, except per share data)  Three Months Ended Fiscal Year Ended  November 1, 2025 January 31, 2026 Reconciliation of net income to Adjusted Net Income:    Net income$104,750 $610,153 Net favorable lease costs (a) 1,891  7,742 Costs related to debt amendments and inducement charges (b)—  112 Impairment charges 3,786  9,857 Litigation matters (c) (2,079) 4,175 Layaway liabilities (d) —  (12,716)Security tags (e) —  11,657 Tax effect (f) (890) (5,297)Adjusted Net Income$107,458 $625,683 Diluted weighted average shares outstanding (g) 64,068  64,126 Adjusted Earnings per Share$1.68 $9.76 
(a) Net favorable lease costs represent the non-cash expense associated with favorable and unfavorable leases that were recorded as a result of purchase accounting related to the April 13, 2006 Bain Capital acquisition of Burlington Coat Factory Warehouse Corporation. These expenses are recorded in the line item “Selling, general and administrative expenses” in our Condensed Consolidated Statements of Income.
(b) Fiscal 2026 amount represents an inducement charge related to the Company's exchange of certain of the 2027 Convertible Notes during the first quarter of Fiscal 2026. Fiscal 2025 amount relates to the settlement of the 2025 Convertible Notes during the first quarter of Fiscal 2025.
(c) Relates to the final settlements and amounts charged for certain litigation matters.
(d) Represents a one-time settlement of certain layaway liabilities on our Fiscal 2025 Consolidated Balance Sheet, resulting in a gain.
(e) Represents a one-time write-off to amortization related to certain merchandise security tags on our Fiscal 2025 Consolidated Balance Sheet.
(f) Tax effect is calculated based on the effective tax rates (before discrete items) for the respective periods, adjusted for the tax effect for the impact of items (a) through (e).
(g) Diluted weighted average shares outstanding starts with basic shares outstanding and adds back any potentially dilutive securities outstanding during the period.
(h) Adjustments for items excluded from Adjusted Net Income. These items have been described in the table above reconciling GAAP net income to Adjusted Net Income.

Burlington Stores (BURL - Free Report) came out with quarterly earnings of $2.96 per share, beating the Zacks Consensus Estimate of $2.18 per share. This compares to earnings of $1.59 per share a year ago. These figures are adjusted for non-recurring items.

This quarterly report represents an earnings surprise of +35.78%. A quarter ago, it was expected that this discount retailer would post earnings of $1.77 per share when it actually produced earnings of $2.01, delivering a surprise of +13.56%.

Over the last four quarters, the company has surpassed consensus EPS estimates four times.

Burlington Stores, which belongs to the Zacks Retail - Discount Stores industry, posted revenues of $3 billion for the quarter ended July 2026, missing the Zacks Consensus Estimate by 0.87%. This compares to year-ago revenues of $2.71 billion. The company has topped consensus revenue estimates two times over the last four quarters.

The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.

Burlington Stores shares have added about 8.7% since the beginning of the year versus the S&P 500's gain of 12.1%.

What's Next for Burlington Stores?While Burlington Stores has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?

There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.

Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.

Ahead of this earnings release, the estimate revisions trend for Burlington Stores was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $2.04 on $2.99 billion in revenues for the coming quarter and $12.21 on $12.83 billion in revenues for the current fiscal year.

Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Retail - Discount Stores is currently in the top 27% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.

Another stock from the same industry, Costco (COST - Free Report) , has yet to report results for the quarter ended August 2026. The results are expected to be released on September 24.

This warehouse club operator is expected to post quarterly earnings of $6.51 per share in its upcoming report, which represents a year-over-year change of +10.9%. The consensus EPS estimate for the quarter has been revised 0% lower over the last 30 days to the current level.

Costco's revenues are expected to be $94.46 billion, up 9.6% from the year-ago quarter.

Burlington Stores Inc. (NYSE:BURL) reported second-quarter profit that beat Wall Street estimates, but the off-price retailer's shares fell after it issued a weaker-than-expected forecast for the current quarter.

The company posted adjusted earnings of $2.37 per share for the quarter, compared with analysts' average estimate of $2.18, according to the release.

Revenue rose 11% year-over-year to $3 billion, roughly in line with the $3.02 billion analysts had projected.

Comparable store sales climbed 2% from a year earlier. Gross margin expanded 250 basis points to 46.2%, while adjusted EBITDA rose 26% to $324 million, ahead of the $302 million estimate. Net income came in at $184 million, above the $137 million analysts had expected.

Shares of Burlington were down 3.5% following the results.

For the third quarter, Burlington forecast adjusted earnings of $1.60 to $1.70 per share, well short of the $2.03 analysts had expected. The company guided for total sales growth of 9% to 11% and said adjusted EBIT margin would contract by 60 to 80 basis points, with an adjusted effective tax rate of approximately 26%.

For the full year, Burlington projected total sales growth of 10% to 11% and adjusted earnings per share of $11.77 to $11.97. The retailer expects adjusted EBIT margin to expand by 20 to 40 basis points, an adjusted effective tax rate of approximately 25%, and capital expenditures of roughly $875 million.

Merchandise inventories stood at $1.5 billion, up 9% from a year earlier.

Burlington Stores BURL is experiencing a decline in stock price today after releasing a mixed report for Q2 (July). The off-price retailer surpassed earnings per share (EPS) expectations, with a revenue increase of 11% year-over-year to $3.00 billion, aligning closely with forecasts. Adjusted EPS, excluding tariff refunds and bankruptcy-related lease expenses, rose by 38% to $2.37, exceeding expectations. BURL also slightly raised its FY27 sales and same-store sales outlook, although these adjustments primarily reflect Q2 results, with underlying sales and earnings assumptions for the latter half of the year remaining unchanged.

Comp Sales: Comp sales grew by 2%, matching the midpoint of BURL's previous guidance and reflecting a robust 7% increase over two years, following a 5% growth last year. The rise was mainly driven by higher basket sizes, while transaction volumes remained relatively stable. Consumer Trends: Management expressed increased caution regarding consumer behavior, noting that Q2 comp sales across retail were generally disappointing, particularly among large value-oriented retailers. CEO O'Sullivan had anticipated better than BURL's 2% comp for Q2. Sales showed moderation in July, though it was the strongest month on a two-year basis, with August comps projected to stay within the 1-3% guidance range for Q3. Store Growth: Store expansion continues to be a significant contributor to BURL's revenue growth, with 51 gross and 45 net new stores opened in Q2. This robust pipeline has allowed BURL to accelerate openings this year, resulting in a cannibalization headwind of approximately 1.5 percentage points of comp, compared to about 1 percentage point historically. Management remains satisfied with the productivity and economics of new stores. Margins: Excluding tariff refunds, gross margin increased by 60 basis points to 44.3%, driven by a 70-basis point rise in merchandise margin, partially offset by higher freight costs. Adjusted EBIT margin expanded by 100 basis points to 7.0%, significantly exceeding BURL's previous guidance of 30-60 basis points of expansion, aided by a stronger merchandise margin and operational efficiencies. Outlook: BURL anticipates potential sales growth as it overcomes weather and tariff-related assortment challenges. The below-consensus Q3 EPS outlook primarily reflects planned reinvestment of tariff refunds, with underlying EBIT margin and EPS expectations for the fall remaining unchanged from May. This mixed Q2 report for BURL contrasts with the stronger recent results from competitors like Ross Stores ROST and TJX Companies TJX. ROST showed notable upside with a strong comp and raised outlook, while TJX also surpassed its comp guidance, attributing any softness to execution rather than declining consumer demand. BURL's management has acknowledged heightened caution regarding consumer spending, citing high gas prices and generally lackluster Q2 comps across the retail sector. As an off-price retailer, BURL views this pressure as an opportunity to enhance value, which is reflected in its decision to reinvest tariff refunds rather than increase earnings. Despite these challenges, management remains optimistic about potential sales growth in the latter half of the year, while underlying profitability and earnings growth appear strong, even when excluding tariff refunds. However, mixed demand trends, increased consumer caution, and unchanged fall assumptions likely explain the decline in shares despite solid earnings performance.

This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].

Disclosures I/We may personally own shares in some of the companies mentioned above. However, those positions are not material to either the company or to my/our portfolios.

Burlington Stores, Inc. reported strong Q2 2026 growth in revenue, profits, and cash flow, but shares dropped 7.6% on a revenue miss. BURL raised full-year 2026 guidance for both revenue (now 10–11% growth) and adjusted EPS ($11.77–$11.97), reflecting ongoing operational momentum. Store expansion remains robust, with 1,287 locations (up 13.1% YoY), but comparable sales growth slowed to 2% versus 5% last year.

Key Takeaways Burlington posted Q2 adjusted EPS of $2.96, while revenues rose 11% but missed estimates.BURL's underlying EBIT margin rose 100 bps to 7%, helped by merchandise margin and SG&A leverage.Burlington raised its FY26 sales growth view to 10-11% and adjusted EPS guidance to $11.77-$11.97. Burlington Stores, Inc. (BURL - Free Report) reported second-quarter fiscal 2026 results, with the bottom line surpassing the Zacks Consensus Estimate but revenues falling short. Still, both earnings and sales increased sharply year over year. The off-price retailer benefited from merchandise-margin expansion, supply-chain productivity, and adjusted selling, general and administrative (SG&A) leverage, enabling the company to post its 15th consecutive quarter of double-digit underlying earnings growth.

Management highlighted solid execution across merchandising, inventory management, store operations and the supply chain. Beauty and accessories were the strongest categories, while the Home business began outperforming the chain late in the quarter. The Northeast and Midwest led regional performance, while the Southwest trailed. New stores remained a major growth driver, with the company adding 45 net new stores during the quarter.

Despite the earnings beat and an increase in the fiscal 2026 guidance, investors reacted negatively to the results, sending shares down more than 7.6% yesterday. The sell-off appears to have reflected the revenue shortfall, comparable sales at the midpoint of guidance and a third-quarter forecast that incorporates year-over-year margin contraction and lower earnings per share (EPS) as tariff refunds are reinvested. Management's more cautious assessment of spending pressure on moderate- and low-income households may have weighed on sentiment.

More on Burlington Stores’ Q2 Financial ResultsBurlington Stores reported adjusted earnings of $2.96 per share, comfortably beating the Zacks Consensus Estimate of $2.18. Adjusted EPS increased 86.2% from $1.59 in the year-ago quarter. The results included a 64-cent-per-share benefit from $55 million in tariff refunds. Excluding the refunds and expenses associated with bankruptcy-acquired leases, adjusted EPS was $2.37, up 38% from $1.72 a year earlier and above management's guidance of $2.05-$2.20.

Total revenues increased 11% year over year to $3,002 million but missed the Zacks Consensus Estimate of $3,029 million. Net sales rose 11% to $2,998 million from $2,701 million in the prior-year quarter.

Comparable store sales increased 2%, at the mid-point of management's guidance of 1-3% and on top of 5% growth in the year-ago quarter, producing a solid 7% two-year stack. New-store cannibalization created an estimated 1.5-percentage-point headwind to comps. According to management, the comparable-sales increase was driven mainly by a higher basket size, while transactions were relatively flat. Our model anticipated a 2.7% year-over-year rise in comparable store sales for the fiscal second quarter.

Insight Into BURL’s MarginsThe gross margin was 46.2%, rising 250 basis points from the prior-year rate, including the $55-million tariff-refund benefit. Without that benefit, the gross margin was 44.3%, an underlying improvement of 60 basis points. The merchandise margin gained 70 basis points on better markup, the timing of markdowns and a lower shortage rate, while freight costs created a 10-basis-point offset.

Adjusted SG&A expenses were $791.2 million, up 8.1% from $732.3 million in the second quarter of fiscal 2025. After excluding $4 million and $11 million during the fiscal second quarters of 2026 and 2025, respectively, of expenses associated with bankruptcy-acquired leases, adjusted SG&A represented 26.2% of net sales versus 26.7% a year earlier. Lower store-related costs, including occupancy expenses and leverage on the 11% sales increase, drove the 50-basis-point improvement.

Product sourcing costs rose to $225.9 million from $209 million. As a share of sales, expenses improved by 20 basis points as distribution-center productivity and cost savings outweighed start-up pressure from the new Savannah facility. The measure covers buying activities and the cost of moving merchandise through Burlington Stores' supply chain.

On a basis that excludes the tariff refund and bankruptcy-acquired lease expenses, adjusted EBIT climbed to $210 million from $162 million. The related margin increased 100 basis points to 7%, comfortably ahead of management's 30-60-basis-point expansion target. Merchandise margin strength, supply-chain productivity and SG&A leverage accounted for the outperformance.

Adjusted EBITDA on the same underlying basis advanced to $324 million from $257 million. Its margin widened by 130 basis points, demonstrating strong operating flow-through despite the modest 2% comparable-sales increase.

BURL’s Financial Snapshot: Cash, Debt & EquityBurlington Stores ended the second quarter of fiscal 2026 with total liquidity of $1.65 billion, consisting of $704 million in unrestricted cash and $942 million of availability under its asset-based lending facility.

Total outstanding debt at the quarter-end was $1.91 billion, including $1.71 billion under the term-loan facility and $186 million in convertible notes. The company had no borrowings under its asset-based lending facility.

The company repurchased 270,279 shares of its common stock for $87 million in the fiscal second quarter. Fiscal year-to-date share repurchases totaled $167 million. At the end of the fiscal second quarter, $218 million remained available under the current share-repurchase authorization, which expires in May 2027.

BURL’s Store UpdateIn the second quarter of fiscal 2026, Burlington Stores opened 51 stores, including six relocations, resulting in a net increase of 45 stores during the period. The company ended the quarter with 1,287 stores across 47 states, Washington, DC, and Puerto Rico. Over the trailing 12 months, Burlington Stores added 149 net new stores, increasing its store count 13%.

BURL’s Q3 GuidanceFor third-quarter fiscal 2026, management projects total sales growth of 9-11% and comparable sales growth of 1-3%. The adjusted EBIT margin is expected to contract 60-80 basis points. That outlook excludes $2 million of anticipated bankruptcy-acquired lease expenses compared with $11 million in the year-ago quarter.

The projected margin decline reflects the planned reinvestment of about 40% of the tariff refunds during the quarter to provide sharper customer value. Excluding this reinvestment, management estimates that the third-quarter operating margin would increase modestly year over year.

Burlington Stores expects continued leverage in product sourcing costs as it realizes benefits from supply-chain productivity and cost-saving initiatives. Management expects additional SG&A leverage, although these benefits are expected to be partially offset by higher fuel-related freight expenses.

The company anticipates an adjusted effective tax rate of 26% and adjusted earnings per share of $1.60-$1.70, whereas it reported $1.80 in the third quarter of fiscal 2025. Management noted that quarter-to-date comparable sales were within 1-3% guidance, with comparisons expected to ease in September and October.

BURL Raised Its FY26 ViewBurlington Stores lifted its fiscal 2026 total-sales forecast to growth of 10-11% from 9-11%. The company raised its comparable-sales assumption to 3-4% from 2-4%, following a 2% increase in fiscal 2025. The company expects to open approximately 115 net new stores during the year, with 135 gross store openings planned. Management remains confident in its ability to open at least 110 net new stores annually and reach or exceed 1,500 stores by the end of fiscal 2028.

The updated plan calls for adjusted EBIT margin expansion of 20-40 basis points, improving on the earlier 10-30-basis-point range. It excludes $16 million of anticipated bankruptcy-acquired lease expenses in fiscal 2026 compared with $35 million in fiscal 2025. Full-year adjusted EPS is forecast at $11.77-$11.97, up from the prior stated $11.45-$11.80, whereas it reported $10.17 in fiscal 2025. The revised range implies 16-18% year-over-year growth. Capital expenditure, net of landlord allowances, is projected at $875 million.

Management noted that the $55-million tariff-refund benefit recognized in the second quarter is expected to be fully reinvested in sharper customer value during the second half, making the direct full-year earnings impact neutral. About 40% of the reinvestment is planned for the third quarter and 60% for the fourth quarter. Excluding the reinvestment, the underlying fall outlook remains unchanged, with the adjusted EBIT margin expansion of 10-30 basis points and adjusted EPS of $7.30-$7.50.

For the fourth quarter, total sales are projected to increase 7-9%, with comparable-store sales up 1-3%. Adjusted earnings are expected at $5.05-$5.15 per share, whereas it registered $4.99 last year. The operating margin is forecast to decline 40-60 basis points. Excluding refund reinvestment, management expects the fourth-quarter operating margin to increase year over year.

BURL Stock Past 3-Month Performances

Image Source: Zacks Investment Research

Over the past three months, this Zacks Rank #3 (Hold) company has lost 10.4% against the industry’s 0.5% growth.

Key PicksWe have highlighted three better-ranked stocks, namely Target Corporation (TGT - Free Report) , Macy's, Inc. (M - Free Report) and Ross Stores Inc. (ROST - Free Report) .

Target offers guests fashionable, differentiated merchandise and everyday essentials at discounted prices. It currently sports a Zacks Rank of 1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for Target’s current fiscal-year earnings and sales suggests growth of 37.7% and 4.6%, respectively, from the year-ago actuals. TGT delivered a trailing four-quarter average earnings surprise of 10.5%.

Macy's sells a wide range of merchandise, including men’s, women’s and children’s apparel and accessories, cosmetics, home furnishings and other consumer goods. The company carries a Zacks Rank #2 (Buy) at present.

The Zacks Consensus Estimate for Macy's current fiscal-year earnings and sales suggests a decline of 4.3% and growth of 0.1%, respectively, from the year-ago actuals. Macy's delivered a trailing four-quarter average earnings surprise of 211%.

Ross Stores operates as an off-price retailer of apparel and home accessories. The company also currently has a Zacks Rank #2.

The Zacks Consensus Estimate for Ross Stores’ current fiscal-year earnings and sales indicates growth of 32.8% and 11.7%, respectively, from the year-ago actuals. ROST delivered a trailing four-quarter average earnings surprise of 11.2%.

Canada Pension Plan Investment Board purchased a new position in shares of Burlington Stores, Inc. (NYSE:BURL – Free Report) in the second quarter, according to its most recent disclosure with the Securities and Exchange Commission. The fund purchased 23,660 shares of the company’s stock, valued at approximately $7,495,000.

Several other hedge funds also recently added to or reduced their stakes in BURL. Legal & General Group Plc purchased a new position in shares of Burlington Stores during the second quarter valued at approximately $95,868,000. Cibc World Market Inc. bought a new position in shares of Burlington Stores during the second quarter valued at approximately $444,000. OMERS ADMINISTRATION Corp purchased a new stake in shares of Burlington Stores in the second quarter worth approximately $1,625,000. Sanctuary Advisors LLC purchased a new stake in shares of Burlington Stores in the second quarter worth approximately $1,021,000. Finally, Connor Clark & Lunn Investment Management Ltd. bought a new stake in shares of Burlington Stores during the 2nd quarter worth approximately $15,538,000.

Trending Headlines about Burlington Stores Here are the key news stories impacting Burlington Stores this week:

Positive Sentiment: Second-quarter adjusted EPS reached $2.96, well above the roughly $2.18–$2.19 analyst consensus and up substantially from the prior year. Revenue increased 11% year over year to approximately $3.0 billion, while operating-margin expansion supported the company’s 15th consecutive quarter of double-digit EPS growth. Burlington Stores Reports Strong Second Quarter Sales and Earnings Growth Positive Sentiment: Burlington raised its fiscal 2026 adjusted EPS outlook to $11.77–$11.97, above the prior consensus of about $11.23, and expects revenue of $12.7–$12.8 billion. The retailer also plans to use tariff refunds to lower prices, potentially supporting customer traffic and value perception. Burlington Stores Plans to Use Tariff Refunds to Lower Prices Neutral Sentiment: The company is pursuing aggressive expansion, with reports of 20 new stores opening across 12 states in September. Store growth can increase long-term sales, though it also raises execution and investment requirements. Burlington Expansion Bringing New Stores to 12 States Negative Sentiment: Second-quarter revenue of about $3.0 billion fell short of the $3.03 billion consensus, and comparable-store sales grew only 2%, slowing from 5% a year earlier. The deceleration raised concerns about underlying demand despite the earnings beat. BURL Shares Slide Despite Q2 Earnings Beat Negative Sentiment: Fiscal third-quarter EPS guidance of $1.60–$1.70 is materially below the approximately $2.04 analyst consensus. Reports also cited tariff-related costs and a weaker-than-expected near-term forecast as reasons for the market reaction. Negative Sentiment: Citigroup cut its price target from $380 to $318 and moved to a neutral rating. Morgan Stanley also reduced its target modestly, from $438 to $432, although it maintained an overweight rating. Analyst Price Target Updates Insiders Place Their Bets In other news, CMO Jennifer Vecchio sold 1,678 shares of the stock in a transaction on Monday, August 3rd. The stock was sold at an average price of $369.04, for a total transaction of $619,249.12. Following the transaction, the chief marketing officer owned 77,661 shares of the company’s stock, valued at approximately $28,660,015.44. This represents a 2.11% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, insider Matthew Pasch sold 3,773 shares of the firm’s stock in a transaction on Friday, June 5th. The shares were sold at an average price of $317.21, for a total value of $1,196,833.33. Following the transaction, the insider owned 6,523 shares in the company, valued at approximately $2,069,160.83. This represents a 36.65% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders sold 30,392 shares of company stock worth $10,280,271. 1.30% of the stock is currently owned by company insiders. Wall Street Analyst Weigh In Several equities analysts have commented on the company. Citigroup cut their price objective on Burlington Stores from $380.00 to $318.00 and set a “neutral” rating on the stock in a research report on Friday. Wells Fargo & Company set a $370.00 target price on Burlington Stores in a research report on Friday. JPMorgan Chase & Co. lowered their target price on shares of Burlington Stores from $374.00 to $351.00 and set an “overweight” rating for the company in a research note on Friday, May 29th. UBS Group upped their price target on shares of Burlington Stores from $435.00 to $440.00 and gave the stock a “buy” rating in a report on Monday, August 17th. Finally, Truist Financial raised their price target on shares of Burlington Stores from $305.00 to $310.00 and gave the stock a “hold” rating in a research note on Thursday, May 28th. Thirteen analysts have rated the stock with a Buy rating and six have issued a Hold rating to the company. According to data from MarketBeat.com, Burlington Stores presently has an average rating of “Moderate Buy” and a consensus price target of $367.56.

Read Our Latest Analysis on BURL

Burlington Stores Stock Down 5.8% Shares of NYSE BURL opened at $273.25 on Friday. The company has a debt-to-equity ratio of 0.95, a quick ratio of 0.49 and a current ratio of 1.17. The firm has a market capitalization of $17.20 billion, a price-to-earnings ratio of 24.53, a PEG ratio of 1.46 and a beta of 1.44. The stock has a 50 day moving average price of $339.01 and a 200 day moving average price of $324.84. Burlington Stores, Inc. has a 52-week low of $240.49 and a 52-week high of $378.33.

Burlington Stores (NYSE:BURL – Get Free Report) last announced its quarterly earnings data on Thursday, August 27th. The company reported $2.96 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.19 by $0.77. The company had revenue of $3 billion for the quarter, compared to analysts’ expectations of $3.03 billion. Burlington Stores had a return on equity of 41.72% and a net margin of 5.85%.Burlington Stores’s revenue was up 11.0% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $1.72 earnings per share. Burlington Stores has set its Q3 2026 guidance at 1.600-1.700 EPS and its FY 2026 guidance at 11.770-11.970 EPS. Sell-side analysts expect that Burlington Stores, Inc. will post 13.28 earnings per share for the current year.

Burlington Stores Profile (Free Report)

Burlington Stores, Inc is an American off-price retailer that sells apparel and home goods at discounted prices. The company’s merchandise assortment includes clothing for women, men and children, plus baby products, footwear, accessories, beauty items, toys and home décor. Burlington’s merchandising strategy focuses on offering branded and private-label goods at lower prices than traditional department stores by sourcing excess inventory, closeouts and opportunistic buys from manufacturers and other retailers.

The business traces its roots to the Burlington Coat Factory name established in the early 1970s and has since evolved into a broader off-price retailer that carries a wide range of seasonal and everyday merchandise.

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Wall Street analysts expect Burlington Stores (BURL - Free Report) to post quarterly earnings of $2.18 per share in its upcoming report, which indicates a year-over-year increase of 37.1%. Revenues are expected to be $3.03 billion, up 12% from the year-ago quarter.

The current level reflects an upward revision of 0.3% in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period.

Prior to a company's earnings announcement, it is crucial to consider revisions to earnings estimates. This serves as a significant indicator for predicting potential investor actions regarding the stock. Empirical research has consistently demonstrated a robust correlation between trends in earnings estimate revision and the short-term price performance of a stock.

While investors typically rely on consensus earnings and revenue estimates to gauge how the business may have fared during the quarter, examining analysts' projections for some of the company's key metrics often helps gain a deeper insight.

With that in mind, let's delve into the average projections of some Burlington Stores metrics that are commonly tracked and projected by analysts on Wall Street.

Analysts' assessment points toward 'Revenues- Net sales' reaching $3.02 billion. The estimate indicates a change of +11.8% from the prior-year quarter.

The average prediction of analysts places 'Revenues- Other revenue' at $4.09 million. The estimate suggests a change of +1.1% year over year.

The collective assessment of analysts points to an estimated 'Comparable store sales' of 2.7%. Compared to the current estimate, the company reported 5.0% in the same quarter of the previous year.

The consensus among analysts is that 'Stores at period end' will reach 1,280 . The estimate compares to the year-ago value of 1,138 .

View all Key Company Metrics for Burlington Stores here>>>

Over the past month, shares of Burlington Stores have returned -6.7% versus the Zacks S&P 500 composite's +2.3% change. Currently, BURL carries a Zacks Rank #3 (Hold), suggesting that its performance may align with the overall market in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .

Advisors Capital Management LLC bought a new stake in Burlington Stores, Inc. (NYSE:BURL – Free Report) during the 2nd quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The firm bought 9,890 shares of the company’s stock, valued at approximately $3,133,000.

A number of other institutional investors and hedge funds have also modified their holdings of the stock. BlackRock Inc. acquired a new position in shares of Burlington Stores during the 2nd quarter worth approximately $2,157,518,000. T. Rowe Price Investment Management Inc. increased its stake in Burlington Stores by 15.8% during the fourth quarter. T. Rowe Price Investment Management Inc. now owns 2,828,877 shares of the company’s stock worth $817,122,000 after acquiring an additional 386,615 shares during the last quarter. State Street Corp raised its position in Burlington Stores by 1.2% in the third quarter. State Street Corp now owns 2,184,171 shares of the company’s stock valued at $555,872,000 after purchasing an additional 26,529 shares during the period. Northwestern Mutual Wealth Management Co. raised its position in Burlington Stores by 303,059.4% in the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 1,912,936 shares of the company’s stock valued at $552,552,000 after purchasing an additional 1,912,305 shares during the period. Finally, Alyeska Investment Group L.P. lifted its stake in shares of Burlington Stores by 103.5% in the 4th quarter. Alyeska Investment Group L.P. now owns 1,285,336 shares of the company’s stock valued at $371,269,000 after purchasing an additional 653,718 shares during the last quarter.

Insider Activity at Burlington Stores In other Burlington Stores news, CMO Jennifer Vecchio sold 1,678 shares of the firm’s stock in a transaction dated Monday, August 3rd. The shares were sold at an average price of $369.04, for a total transaction of $619,249.12. Following the completion of the transaction, the chief marketing officer directly owned 77,661 shares in the company, valued at approximately $28,660,015.44. This trade represents a 2.11% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, insider Matthew Pasch sold 3,773 shares of Burlington Stores stock in a transaction dated Friday, June 5th. The stock was sold at an average price of $317.21, for a total transaction of $1,196,833.33. Following the transaction, the insider owned 6,523 shares of the company’s stock, valued at approximately $2,069,160.83. The trade was a 36.65% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last three months, insiders have sold 30,392 shares of company stock valued at $10,280,271. Insiders own 1.30% of the company’s stock.

Burlington Stores Stock Down 1.8% BURL stock opened at $327.10 on Friday. The stock has a market capitalization of $20.59 billion, a PE ratio of 33.62, a price-to-earnings-growth ratio of 1.71 and a beta of 1.44. The company has a fifty day moving average of $342.03 and a 200-day moving average of $324.76. The company has a debt-to-equity ratio of 1.03, a quick ratio of 0.49 and a current ratio of 1.16. Burlington Stores, Inc. has a one year low of $240.49 and a one year high of $378.33. Burlington Stores (NYSE:BURL – Get Free Report) last announced its quarterly earnings data on Thursday, May 28th. The company reported $2.01 EPS for the quarter, beating analysts’ consensus estimates of $1.80 by $0.21. Burlington Stores had a net margin of 5.24% and a return on equity of 39.93%. The firm had revenue of $2.86 billion during the quarter, compared to the consensus estimate of $2.80 billion. During the same quarter last year, the firm earned $1.60 earnings per share. The firm’s revenue was up 14.1% compared to the same quarter last year. Burlington Stores has set its Q2 2026 guidance at 2.050-2.200 EPS and its FY 2026 guidance at 11.450-11.800 EPS. As a group, analysts expect that Burlington Stores, Inc. will post 12.21 EPS for the current year.

Analyst Upgrades and Downgrades A number of analysts recently issued reports on BURL shares. UBS Group raised their price objective on Burlington Stores from $435.00 to $440.00 and gave the stock a “buy” rating in a research report on Monday. Truist Financial lifted their price target on shares of Burlington Stores from $305.00 to $310.00 and gave the company a “hold” rating in a research report on Thursday, May 28th. Wells Fargo & Company reduced their price target on shares of Burlington Stores from $400.00 to $375.00 and set an “overweight” rating on the stock in a research note on Friday, May 29th. Barclays upped their price objective on shares of Burlington Stores from $365.00 to $411.00 and gave the stock an “overweight” rating in a report on Tuesday, May 26th. Finally, Evercore reiterated an “outperform” rating and issued a $400.00 target price on shares of Burlington Stores in a report on Monday. Thirteen investment analysts have rated the stock with a Buy rating and six have issued a Hold rating to the stock. According to MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $371.50.

Read Our Latest Stock Analysis on BURL

(Free Report)

Burlington Stores, Inc is an American off-price retailer that sells apparel and home goods at discounted prices. The company’s merchandise assortment includes clothing for women, men and children, plus baby products, footwear, accessories, beauty items, toys and home décor. Burlington’s merchandising strategy focuses on offering branded and private-label goods at lower prices than traditional department stores by sourcing excess inventory, closeouts and opportunistic buys from manufacturers and other retailers.

The business traces its roots to the Burlington Coat Factory name established in the early 1970s and has since evolved into a broader off-price retailer that carries a wide range of seasonal and everyday merchandise.

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Burlington Stores (BURL - Free Report) is expected to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended July 2026. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price.

The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on August 27. On the other hand, if they miss, the stock may move lower.

While the sustainability of the immediate price change and future earnings expectations will mostly depend on management's discussion of business conditions on the earnings call, it's worth handicapping the probability of a positive EPS surprise.

Zacks Consensus EstimateThis discount retailer is expected to post quarterly earnings of $2.18 per share in its upcoming report, which represents a year-over-year change of +37.1%.

Revenues are expected to be $3.02 billion, up 11.8% from the year-ago quarter.

Estimate Revisions TrendThe consensus EPS estimate for the quarter has been revised 0.38% higher over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.

Investors should keep in mind that an aggregate change may not always reflect the direction of estimate revisions by each of the covering analysts.

Price, Consensus and EPS Surprise

Earnings WhisperEstimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. Our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction) -- has this insight at its core.

The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.

Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.

A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.

Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).

How Have the Numbers Shaped Up for Burlington Stores?For Burlington Stores, the Most Accurate Estimate is higher than the Zacks Consensus Estimate, suggesting that analysts have recently become bullish on the company's earnings prospects. This has resulted in an Earnings ESP of +1.84%.

On the other hand, the stock currently carries a Zacks Rank of #3.

So, this combination indicates that Burlington Stores will most likely beat the consensus EPS estimate.

Does Earnings Surprise History Hold Any Clue?Analysts often consider to what extent a company has been able to match consensus estimates in the past while calculating their estimates for its future earnings. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.

For the last reported quarter, it was expected that Burlington Stores would post earnings of $1.77 per share when it actually produced earnings of $2.01, delivering a surprise of +13.56%.

Over the last four quarters, the company has beaten consensus EPS estimates four times.

Bottom LineAn earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.

That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.

Burlington Stores appears a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.

BURLINGTON, N.J., Aug. 13, 2026 (GLOBE NEWSWIRE) -- Burlington Stores, Inc. (NYSE: BURL), a nationally recognized off-price retailer of high-quality, branded apparel, footwear, accessories, and merchandise for the home at everyday low prices, will release its second quarter fiscal year 2026 results before the U.S. stock market opens on Thursday, August 27, 2026. The Company will also hold a conference call to discuss results at 8:30 a.m. (Eastern Time) that day.

Wall Street watches a company's quarterly report closely to understand as much as possible about its recent performance and what to expect going forward. Of course, one figure often stands out among the rest: earnings.

The earnings figure itself is key, of course, but a beat or miss on the bottom line can sometimes be just as, if not more, important. Therefore, investors should consider paying close attention to these earnings surprises, as a big beat can help a stock climb and vice versa.

Now that we know how important earnings and earnings surprises are, it's time to show investors how to take advantage of these events to boost their returns by utilizing the Zacks Earnings ESP filter.

The Zacks Earnings ESP, ExplainedThe Zacks Earnings ESP is more formally known as the Expected Surprise Prediction, and it aims to grab the inside track on the latest analyst estimate revisions ahead of a company's report. The idea is relatively intuitive as a newer projection might be based on more complete information.

Now that we understand the basic idea, let's look at how the Expected Surprise Prediction works. The ESP is calculated by comparing the Most Accurate Estimate to the Zacks Consensus Estimate, with the percentage difference between the two giving us the Zacks ESP figure.

Bringing together a positive earnings ESP alongside a Zacks Rank #3 (Hold) or better has helped stocks report a positive earnings surprise 70% of the time. Furthermore, by using these parameters, investors have seen 28.3% annual returns on average, according to our 10 year backtest.

Most stocks, about 60%, fall into the #3 (Hold) category, and they are expected to perform in-line with the broader market. Stocks with a #2 (Buy) and #1 (Strong Buy) rating, or the top 15% and top 5% of stocks, respectively, should outperform the market, with Strong Buy stocks outperforming more than any other rank.

Should You Consider Burlington Stores?The final step today is to look at a stock that meets our ESP qualifications. Burlington Stores (BURL - Free Report) earns a #3 (Hold) 17 days from its next quarterly earnings release on August 27, 2026, and its Most Accurate Estimate comes in at $2.18 a share.

By taking the percentage difference between the $2.18 Most Accurate Estimate and the $2.17 Zacks Consensus Estimate, Burlington Stores has an Earnings ESP of +0.57%. Investors should also know that BURL is one of a large group of stocks with positive ESPs. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.

BURL is just one of a large group of Retail and Wholesale stocks with a positive ESP figure. eBay (EBAY - Free Report) is another qualifying stock you may want to consider.

Slated to report earnings on November 4, 2026, eBay holds a #3 (Hold) ranking on the Zacks Rank, and its Most Accurate Estimate is $1.44 a share 86 days from its next quarterly update.

The Zacks Consensus Estimate for eBay is $1.43, and when you take the percentage difference between that number and its Most Accurate Estimate, you get the Earnings ESP figure of +0.35%.

Because both stocks hold a positive Earnings ESP, BURL and EBAY could potentially post earnings beats in their next reports.

Find Stocks to Buy or Sell Before They're ReportedUse the Zacks Earnings ESP Filter to turn up stocks with the highest probability of positively, or negatively, surprising to buy or sell before they're reported for profitable earnings season trading. Check it out here >>

Posted by Defense World Staff on Aug 5th, 2026

Empowered Funds LLC lifted its stake in shares of Burlington Stores, Inc. (NYSE:BURL – Free Report) by 1,107.4% during the first quarter, according to its most recent disclosure with the Securities & Exchange Commission. The firm owned 8,754 shares of the company’s stock after purchasing an additional 8,029 shares during the period. Empowered Funds LLC’s holdings in Burlington Stores were worth $2,848,000 at the end of the most recent quarter.

Other large investors have also made changes to their positions in the company. Signaturefd LLC grew its stake in Burlington Stores by 4.4% in the fourth quarter. Signaturefd LLC now owns 787 shares of the company’s stock valued at $227,000 after purchasing an additional 33 shares in the last quarter. Harbour Investments Inc. raised its position in shares of Burlington Stores by 44.7% in the fourth quarter. Harbour Investments Inc. now owns 110 shares of the company’s stock valued at $32,000 after purchasing an additional 34 shares during the period. Fifth Third Bancorp lifted its position in Burlington Stores by 6.4% during the 4th quarter. Fifth Third Bancorp now owns 585 shares of the company’s stock worth $169,000 after acquiring an additional 35 shares during the last quarter. Vident Advisory LLC lifted its position in shares of Burlington Stores by 1.1% during the 2nd quarter. Vident Advisory LLC now owns 3,330 shares of the company’s stock worth $775,000 after purchasing an additional 36 shares during the last quarter. Finally, MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its holdings in shares of Burlington Stores by 14.4% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 302 shares of the company’s stock worth $72,000 after buying an additional 38 shares during the last quarter.

Burlington Stores Stock Performance NYSE BURL opened at $367.27 on Wednesday. The stock has a market cap of $23.12 billion, a P/E ratio of 37.75, a PEG ratio of 1.98 and a beta of 1.44. The company’s 50-day simple moving average is $334.66 and its 200 day simple moving average is $320.18. Burlington Stores, Inc. has a twelve month low of $240.49 and a twelve month high of $378.33. The company has a quick ratio of 0.49, a current ratio of 1.16 and a debt-to-equity ratio of 1.03.

Burlington Stores (NYSE:BURL – Get Free Report) last posted its quarterly earnings results on Thursday, May 28th. The company reported $2.01 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.80 by $0.21. The firm had revenue of $2.86 billion during the quarter, compared to analyst estimates of $2.80 billion. Burlington Stores had a net margin of 5.24% and a return on equity of 39.93%. The company’s quarterly revenue was up 14.1% compared to the same quarter last year. During the same quarter in the prior year, the business posted $1.60 earnings per share. Burlington Stores has set its Q2 2026 guidance at 2.050-2.200 EPS and its FY 2026 guidance at 11.450-11.800 EPS. As a group, research analysts forecast that Burlington Stores, Inc. will post 11.71 earnings per share for the current fiscal year.

Insider Transactions at Burlington Stores In related news, CMO Jennifer Vecchio sold 20,920 shares of the firm’s stock in a transaction that occurred on Friday, June 12th. The stock was sold at an average price of $341.53, for a total transaction of $7,144,807.60. Following the completion of the transaction, the chief marketing officer owned 81,017 shares in the company, valued at $27,669,736.01. This trade represents a 20.52% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Matthew Pasch sold 3,773 shares of the business’s stock in a transaction on Friday, June 5th. The shares were sold at an average price of $317.21, for a total value of $1,196,833.33. Following the completion of the sale, the insider directly owned 6,523 shares in the company, valued at approximately $2,069,160.83. This represents a 36.65% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders sold 28,714 shares of company stock valued at $9,661,022. Corporate insiders own 1.30% of the company’s stock.

Wall Street Analysts Forecast Growth Several equities research analysts have recently issued reports on BURL shares. Wells Fargo & Company lowered their price objective on shares of Burlington Stores from $400.00 to $375.00 and set an “overweight” rating on the stock in a research note on Friday, May 29th. Truist Financial increased their price target on shares of Burlington Stores from $305.00 to $310.00 and gave the company a “hold” rating in a report on Thursday, May 28th. JPMorgan Chase & Co. decreased their price target on shares of Burlington Stores from $374.00 to $351.00 and set an “overweight” rating on the stock in a research report on Friday, May 29th. UBS Group restated a “buy” rating and set a $435.00 price objective on shares of Burlington Stores in a report on Friday, May 29th. Finally, Jefferies Financial Group reaffirmed a “buy” rating and set a $365.00 price objective on shares of Burlington Stores in a research report on Friday, May 29th. Fourteen equities research analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the company’s stock. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average price target of $353.56.

Read Our Latest Report on Burlington Stores

Burlington Stores Company Profile (Free Report)

Burlington Stores, Inc is an American off-price retailer that sells apparel and home goods at discounted prices. The company’s merchandise assortment includes clothing for women, men and children, plus baby products, footwear, accessories, beauty items, toys and home décor. Burlington’s merchandising strategy focuses on offering branded and private-label goods at lower prices than traditional department stores by sourcing excess inventory, closeouts and opportunistic buys from manufacturers and other retailers.

The business traces its roots to the Burlington Coat Factory name established in the early 1970s and has since evolved into a broader off-price retailer that carries a wide range of seasonal and everyday merchandise.

See Also Five stocks we like better than Burlington Stores System Upgrade: First Internet Bancorp Options Surge AI Security Breaches Raise New Risks for Microsoft and Amazon’s Agent Push The AI Chip Blockade Is Creating a Shadow Market Grab Holdings Stock Forms Bottom After Strong Beat-and-Raise Quarter Want to see what other hedge funds are holding BURL? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Burlington Stores, Inc. (NYSE:BURL – Free Report).

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Key Takeaways Burlington's relocated stores typically deliver a 5% to 10% sales lift in higher-traffic shopping centers.BURL has improved sales per selling square foot by 55% since 2019 through smaller, more productive stores.Burlington raised fiscal 2026 guidance as store optimization and healthy customer demand support growth. Burlington Stores, Inc. (BURL - Free Report) is making steady progress with its smaller store format strategy, an initiative aimed at improving sales productivity while driving long-term profitability. The company continues to optimize its store portfolio through new store openings, relocations and downsizing projects, creating a more productive and efficient retail footprint. These initiatives are enhancing Burlington's competitive position and supporting sustainable growth across its off-price business.

Burlington's relocation and downsizing programs are delivering solid returns. Relocated stores typically generate a 5% to 10% sales lift by moving to higher-traffic shopping centers with stronger co-tenancy. The company is resizing older stores where the locations remain attractive but the selling space is larger than required. In many cases, Burlington reduces store size by roughly half, lowering occupancy costs by about 200 basis points while maintaining an engaging shopping experience.

The strategy has significantly improved store productivity over the past several years. Sales per selling square foot have increased to approximately $350 from about $220 in 2019, representing a 55% improvement. Management attributes this gain to a combination of smaller, more productive stores, stronger merchandising execution and better utilization of selling space. As more stores are relocated or downsized, Burlington expects additional occupancy cost leverage and improved operating efficiency.

The company is accelerating this transformation through continued investment in its store network. Burlington opened 40 new stores in the first quarter of fiscal 2026 and expects to add 115 net new stores in fiscal 2026. By the end of 2028, the retailer expects to operate more than 1,500 stores, with over 80% of its fleet having been opened, relocated or downsized since 2019. The company expects to complete its Store Experience 2.0 rollout by the end of this year, making stores easier to shop and more appealing to customers.

Burlington's focus on smaller, more productive stores complements its broader off-price strategy by improving efficiency without compromising customer value. Reflecting confidence in its execution, the company raised its fiscal 2026 outlook and expects total sales growth of 9% to 11%, comparable sales growth of 2% to 4% and adjusted earnings per share of $11.45 to $11.80. Management remains optimistic about the remainder of the year, supported by healthy customer demand, ample off-price merchandise availability and continued progress across its store optimization initiatives.

Burlington’s Price Performance, Valuation & EstimatesBURL stock has gained 17.4% over the past six months compared with the industry’s 2.7% growth.

Image Source: Zacks Investment Research

Burlington’s trailing 12-month price-to-sales ratio of 1.90X indicates a lower valuation compared with the industry’s average of 1.98X. BURL carries a Value Score of B.

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for Burlington’s current fiscal-year sales and earnings per share implies year-over-year growth of 10.8% and 20%, respectively. Next fiscal-year sales and earnings per share imply year-over-year growth of 8.8% and 15.4%, respectively. Earnings estimates for the current and next fiscal years have been revised upward by 36 cents and 35 cents per share, respectively, over the past 60 days.

Image Source: Zacks Investment Research

Burlington currently carries a Zacks Rank #2 (Buy). 

Other Key PicksSome other top-ranked stocks in the retail space are Dollar Tree Inc. (DLTR - Free Report) , Ross Stores Inc. (ROST - Free Report) and Target Corporation (TGT - Free Report) .

Dollar Tree is an operator of discount variety stores offering a broad assortment of everyday consumables and discretionary merchandise. The company currently carries a Zacks Rank of 2. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

The Zacks Consensus Estimate for Dollar Tree’s current fiscal-year sales and earnings indicates growth of 6.5% and 21.7%, respectively, from the year-ago reported figures. DLTR delivered a trailing four-quarter earnings surprise of 32.1%, on average.

Ross Stores operates as an off-price retailer of apparel and home accessories. It presently carries a Zacks Rank #2.

The Zacks Consensus Estimate for Ross Stores’ current fiscal-year earnings and sales implies growth of 17.1% and 10.1%, respectively, from the year-ago actuals. ROST delivered a trailing four-quarter average earnings surprise of 10.2%.

Target offers guests fashionable, differentiated merchandise and everyday essentials at discounted prices. It also has a Zacks Rank of 2 at present.

The Zacks Consensus Estimate for Target’s current fiscal-year earnings and sales implies growth of 21.7% and 6.5%, respectively, from the year-ago actuals. TGT delivered a trailing four-quarter average earnings surprise of 32.1%.

Posted by Defense World Staff on Jul 18th, 2026

Allspring Global Investments Holdings LLC reduced its stake in shares of Burlington Stores, Inc. (NYSE:BURL – Free Report) by 16.9% in the 1st quarter, according to its most recent disclosure with the Securities and Exchange Commission. The firm owned 242,900 shares of the company’s stock after selling 49,420 shares during the period. Allspring Global Investments Holdings LLC owned approximately 0.39% of Burlington Stores worth $80,359,000 at the end of the most recent quarter.

A number of other large investors have also recently made changes to their positions in the stock. Stone House Investment Management LLC purchased a new stake in shares of Burlington Stores in the 4th quarter valued at $25,000. JPL Wealth Management LLC purchased a new position in shares of Burlington Stores during the third quarter worth $28,000. Harbour Investments Inc. lifted its position in Burlington Stores by 44.7% during the fourth quarter. Harbour Investments Inc. now owns 110 shares of the company’s stock valued at $32,000 after purchasing an additional 34 shares during the period. Reflection Asset Management acquired a new position in Burlington Stores during the fourth quarter valued at $34,000. Finally, Larson Financial Group LLC lifted its position in Burlington Stores by 180.0% during the fourth quarter. Larson Financial Group LLC now owns 126 shares of the company’s stock valued at $36,000 after purchasing an additional 81 shares during the period.

Analyst Ratings Changes Several research analysts recently weighed in on BURL shares. Bank of America lifted their price target on Burlington Stores from $367.00 to $375.00 and gave the company a “buy” rating in a research report on Friday, May 29th. Weiss Ratings upgraded Burlington Stores from a “buy (b-)” rating to a “buy (b)” rating in a research report on Tuesday, July 7th. UBS Group reaffirmed a “buy” rating and set a $435.00 price objective on shares of Burlington Stores in a research note on Friday, May 29th. Telsey Advisory Group reaffirmed an “outperform” rating and set a $365.00 target price on shares of Burlington Stores in a report on Tuesday, March 31st. Finally, Barclays boosted their target price on shares of Burlington Stores from $365.00 to $411.00 and gave the company an “overweight” rating in a research note on Tuesday, May 26th. Fifteen investment analysts have rated the stock with a Buy rating and five have issued a Hold rating to the company. According to data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $353.56.

Get Our Latest Analysis on Burlington Stores

Insider Transactions at Burlington Stores In related news, CMO Jennifer Vecchio sold 1,678 shares of the company’s stock in a transaction that occurred on Wednesday, July 1st. The shares were sold at an average price of $315.42, for a total transaction of $529,274.76. Following the sale, the chief marketing officer directly owned 79,339 shares of the company’s stock, valued at $25,025,107.38. This represents a 2.07% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CAO Stephen Ferroni sold 2,343 shares of the firm’s stock in a transaction that occurred on Thursday, June 11th. The shares were sold at an average price of $337.22, for a total transaction of $790,106.46. Following the completion of the transaction, the chief accounting officer directly owned 1,391 shares of the company’s stock, valued at $469,073.02. This represents a 62.75% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders have sold 28,714 shares of company stock valued at $9,661,022. 1.30% of the stock is currently owned by corporate insiders.

Burlington Stores Trading Down 3.2% NYSE BURL opened at $344.91 on Friday. The company has a debt-to-equity ratio of 1.03, a current ratio of 1.16 and a quick ratio of 0.49. The stock has a market capitalization of $21.71 billion, a P/E ratio of 35.45, a PEG ratio of 1.92 and a beta of 1.46. The firm’s 50-day moving average is $320.75 and its two-hundred day moving average is $314.98. Burlington Stores, Inc. has a 12 month low of $240.49 and a 12 month high of $361.21.

Burlington Stores (NYSE:BURL – Get Free Report) last released its quarterly earnings results on Thursday, May 28th. The company reported $2.01 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.80 by $0.21. The business had revenue of $2.86 billion for the quarter, compared to the consensus estimate of $2.80 billion. Burlington Stores had a net margin of 5.24% and a return on equity of 39.93%. The business’s revenue was up 14.1% on a year-over-year basis. During the same period in the previous year, the firm earned $1.60 EPS. Burlington Stores has set its Q2 2026 guidance at 2.050-2.200 EPS and its FY 2026 guidance at 11.450-11.800 EPS. On average, sell-side analysts anticipate that Burlington Stores, Inc. will post 11.71 earnings per share for the current year.

About Burlington Stores (Free Report)

Burlington Stores, Inc is an American off-price retailer that sells apparel and home goods at discounted prices. The company’s merchandise assortment includes clothing for women, men and children, plus baby products, footwear, accessories, beauty items, toys and home décor. Burlington’s merchandising strategy focuses on offering branded and private-label goods at lower prices than traditional department stores by sourcing excess inventory, closeouts and opportunistic buys from manufacturers and other retailers.

The business traces its roots to the Burlington Coat Factory name established in the early 1970s and has since evolved into a broader off-price retailer that carries a wide range of seasonal and everyday merchandise.

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It doesn't matter your age or experience: taking full advantage of the stock market and investing with confidence are common goals for all investors. Luckily, Zacks Premium offers several different ways to do both.

The popular research service can help you become a smarter, more self-assured investor, giving you access to daily updates of the Zacks Rank and Zacks Industry Rank, the Zacks #1 Rank List, Equity Research reports, and Premium stock screens.

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What are the Zacks Style Scores? The Zacks Style Scores, developed alongside the Zacks Rank, are complementary indicators that rate stocks based on three widely-followed investing methodologies; they also help investors pick stocks with the best chances of beating the market over the next 30 days.

Based on their value, growth, and momentum characteristics, each stock is assigned a rating of A, B, C, D, or F. The better the score, the better chance the stock will outperform; an A is better than a B, a B is better than a C, and so on.

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Value ScoreFor value investors, it's all about finding good stocks at good prices, and discovering which companies are trading under their true value before the broader market catches on. The Value Style Score utilizes ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and a host of other multiples to help pick out the most attractive and discounted stocks.

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Momentum ScoreMomentum trading is all about taking advantage of upward or downward trends in a stock's price or earnings outlook, and these investors live by the saying "the trend is your friend." The Momentum Style Score can pinpoint good times to build a position in a stock, using factors like one-week price change and the monthly percentage change in earnings estimates.

VGM ScoreIf you want a combination of all three Style Scores, then the VGM Score will be your friend. It rates each stock on their combined weighted styles, helping you find the companies with the most attractive value, best growth forecast, and most promising momentum. It's also one of the best indicators to use with the Zacks Rank.

How Style Scores Work with the Zacks Rank The Zacks Rank is a proprietary stock-rating model that harnesses the power of earnings estimate revisions, or changes to a company's earnings expectations, to help investors build a successful portfolio.

#1 (Strong Buy) stocks have produced an unmatched +23.94% average annual return since 1988, which is more than double the S&P 500's performance over the same time frame. However, the Zacks Rank examines a ton of stocks, and there can be more than 200 companies with a Strong Buy rank, and another 600 with a #2 (Buy) rank, on any given day.

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Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.

Stock to Watch: Burlington Stores (BURL - Free Report) Founded in 1972 and headquartered in New Jersey, Burlington Stores, Inc. is a Fortune 500 company and an off-price retailer operating in the United States and Puerto Rico. Through its subsidiary, Burlington Coat Factory Warehouse Corporation, the company provides a line of value-priced products, including women’s ready-to-wear apparel, menswear, youth apparel, baby, beauty, footwear, accessories, home, toys, gifts and coats.

BURL is a #3 (Hold) on the Zacks Rank, with a VGM Score of B.

Additionally, the company could be a top pick for growth investors. BURL has a Growth Style Score of A, forecasting year-over-year earnings growth of 20% for the current fiscal year.

For fiscal 2027, four analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.39 to $11.71 per share. BURL boasts an average earnings surprise of +14%.

With a solid Zacks Rank and top-tier Growth and VGM Style Scores, BURL should be on investors' short list.

It doesn't matter your age or experience: taking full advantage of the stock market and investing with confidence are common goals for all investors. Luckily, Zacks Premium offers several different ways to do both.

The research service features daily updates of the Zacks Rank and Zacks Industry Rank, full access to the Zacks #1 Rank List, Equity Research reports, and Premium stock screens, all of which will help you become a smarter, more confident investor.

It also includes access to the Zacks Style Scores.

What are the Zacks Style Scores? The Zacks Style Scores is a unique set of guidelines that rates stocks based on three popular investing types, and were developed as complementary indicators for the Zacks Rank. This combination helps investors choose securities with the highest chances of beating the market over the next 30 days.

Based on their value, growth, and momentum characteristics, each stock is assigned a rating of A, B, C, D, or F. The better the score, the better chance the stock will outperform; an A is better than a B, a B is better than a C, and so on.

The Style Scores are broken down into four categories:

Value ScoreFor value investors, it's all about finding good stocks at good prices, and discovering which companies are trading under their true value before the broader market catches on. The Value Style Score utilizes ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and a host of other multiples to help pick out the most attractive and discounted stocks.

Growth ScoreGrowth investors are more concerned with a stock's future prospects, and the overall financial health and strength of a company. Thus, the Growth Style Score analyzes characteristics like projected and historic earnings, sales, and cash flow to find stocks that will see sustainable growth over time.

Momentum ScoreMomentum traders and investors live by the saying "the trend is your friend." This investing style is all about taking advantage of upward or downward trends in a stock's price or earnings outlook. Employing factors like one-week price change and the monthly percentage change in earnings estimates, the Momentum Style Score can indicate favorable times to build a position in high-momentum stocks.

VGM ScoreIf you like to use all three kinds of investing, then the VGM Score is for you. It's a combination of all Style Scores, and is an important indicator to use with the Zacks Rank. The VGM Score rates each stock on their shared weighted styles, narrowing down the companies with the most attractive value, best growth forecast, and most promising momentum.

How Style Scores Work with the Zacks Rank The Zacks Rank is a proprietary stock-rating model that harnesses the power of earnings estimate revisions, or changes to a company's earnings expectations, to help investors build a successful portfolio.

#1 (Strong Buy) stocks have produced an unmatched +24% average annual return since 1988, which is more than double the S&P 500's performance over the same time frame. However, the Zacks Rank examines a ton of stocks, and there can be more than 200 companies with a Strong Buy rank, and another 600 with a #2 (Buy) rank, on any given day.

But it can feel overwhelming to pick the right stocks for you and your investing goals with over 800 top-rated stocks to choose from.

That's where the Style Scores come in.

You want to make sure you're buying stocks with the highest likelihood of success, and to do that, you'll need to pick stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B. If you like a stock that only has a #3 (Hold) rank, it should also have Scores of A or B to guarantee as much upside potential as possible.

The direction of a stock's earnings estimate revisions should always be a key factor when choosing which stocks to buy, since the Scores were created to work together with the Zacks Rank.

A stock with a #4 (Sell) or #5 (Strong Sell) rating, for instance, even one with Scores of A and B, will still have a declining earnings forecast, and a greater chance its share price will fall too.

Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.

Stock to Watch: Burlington Stores (BURL - Free Report) Founded in 1972 and headquartered in New Jersey, Burlington Stores, Inc. is a Fortune 500 company and an off-price retailer operating in the United States and Puerto Rico. Through its subsidiary, Burlington Coat Factory Warehouse Corporation, the company provides a line of value-priced products, including women’s ready-to-wear apparel, menswear, youth apparel, baby, beauty, footwear, accessories, home, toys, gifts and coats.

BURL is a #3 (Hold) on the Zacks Rank, with a VGM Score of B.

Momentum investors should take note of this Retail-Wholesale stock. BURL has a Momentum Style Score of B, and shares are up 8% over the past four weeks.

Four analysts revised their earnings estimate higher in the last 60 days for fiscal 2027, while the Zacks Consensus Estimate has increased $0.39 to $11.71 per share. BURL also boasts an average earnings surprise of +14%.

With a solid Zacks Rank and top-tier Momentum and VGM Style Scores, BURL should be on investors' short list.

It doesn't matter your age or experience: taking full advantage of the stock market and investing with confidence are common goals for all investors. Luckily, Zacks Premium offers several different ways to do both.

The research service features daily updates of the Zacks Rank and Zacks Industry Rank, full access to the Zacks #1 Rank List, Equity Research reports, and Premium stock screens, all of which will help you become a smarter, more confident investor.

It also includes access to the Zacks Style Scores.

What are the Zacks Style Scores? The Zacks Style Scores is a unique set of guidelines that rates stocks based on three popular investing types, and were developed as complementary indicators for the Zacks Rank. This combination helps investors choose securities with the highest chances of beating the market over the next 30 days.

Based on their value, growth, and momentum characteristics, each stock is assigned a rating of A, B, C, D, or F. The better the score, the better chance the stock will outperform; an A is better than a B, a B is better than a C, and so on.

The Style Scores are broken down into four categories:

Value ScoreFinding good stocks at good prices, and discovering which companies are trading under their true value, are what value investors like to focus on. So, the Value Style Score takes into account ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and a host of other multiples to highlight the most attractive and discounted stocks.

Growth ScoreGrowth investors are more concerned with a stock's future prospects, and the overall financial health and strength of a company. Thus, the Growth Style Score analyzes characteristics like projected and historic earnings, sales, and cash flow to find stocks that will see sustainable growth over time.

Momentum ScoreMomentum traders and investors live by the saying "the trend is your friend." This investing style is all about taking advantage of upward or downward trends in a stock's price or earnings outlook. Employing factors like one-week price change and the monthly percentage change in earnings estimates, the Momentum Style Score can indicate favorable times to build a position in high-momentum stocks.

VGM ScoreWhat if you like to use all three types of investing? The VGM Score is a combination of all Style Scores, making it one of the most comprehensive indicators to use with the Zacks Rank. It rates each stock on their combined weighted styles, which helps narrow down the companies with the most attractive value, best growth forecast, and most promising momentum.

How Style Scores Work with the Zacks Rank The Zacks Rank is a proprietary stock-rating model that harnesses the power of earnings estimate revisions, or changes to a company's earnings expectations, to help investors build a successful portfolio.

#1 (Strong Buy) stocks have produced an unmatched +24% average annual return since 1988, which is more than double the S&P 500's performance over the same time frame. However, the Zacks Rank examines a ton of stocks, and there can be more than 200 companies with a Strong Buy rank, and another 600 with a #2 (Buy) rank, on any given day.

But it can feel overwhelming to pick the right stocks for you and your investing goals with over 800 top-rated stocks to choose from.

That's where the Style Scores come in.

You want to make sure you're buying stocks with the highest likelihood of success, and to do that, you'll need to pick stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B. If you like a stock that only has a #3 (Hold) rank, it should also have Scores of A or B to guarantee as much upside potential as possible.

Since the Scores were created to work together with the Zacks Rank, the direction of a stock's earnings estimate revisions should be a key factor when choosing which stocks to buy.

A stock with a #4 (Sell) or #5 (Strong Sell) rating, for instance, even one with Scores of A and B, will still have a declining earnings forecast, and a greater chance its share price will fall too.

Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.

Stock to Watch: Burlington Stores (BURL - Free Report) Founded in 1972 and headquartered in New Jersey, Burlington Stores, Inc. is a Fortune 500 company and an off-price retailer operating in the United States and Puerto Rico. Through its subsidiary, Burlington Coat Factory Warehouse Corporation, the company provides a line of value-priced products, including women’s ready-to-wear apparel, menswear, youth apparel, baby, beauty, footwear, accessories, home, toys, gifts and coats.

BURL is a #2 (Buy) on the Zacks Rank, with a VGM Score of B.

Additionally, the company could be a top pick for growth investors. BURL has a Growth Style Score of A, forecasting year-over-year earnings growth of 20% for the current fiscal year.

Four analysts revised their earnings estimate upwards in the last 60 days for fiscal 2027. The Zacks Consensus Estimate has increased $0.39 to $11.71 per share. BURL boasts an average earnings surprise of +14%.

With a solid Zacks Rank and top-tier Growth and VGM Style Scores, BURL should be on investors' short list.

Burlington Stores Today

BURL

Burlington Stores

$341.34 +9.10 (+2.74%)

As of 11:11 AM Eastern

This is a fair market value price provided by Massive. Learn more.

52-Week Range$222.48▼

$351.85P/E Ratio35.09

Price Target$353.56

Frugal shoppers continue to spend, and Burlington Stores NYSE: BURL continues to benefit.

By selling branded clothing, footwear, accessories, and home merchandise at prices well below traditional retailers, Burlington is delivering exceptional sales, earnings, and store expansion as a standout off-price retailer. Investors have noticed, sending the stock price surging over the past year.

Get Burlington Stores alerts:

But with higher valuation and rising expectations, the richly valued stock leaves little room for error. Investors looking to get in now need to balance the presence of cyclical risk and fierce competition with the prospects of a well-run company with proven results.

Burlington Delivers Another Strong QuarterSo far this year, the news remains positive. In fact, the company’s recent three-month results, reported in late May, were strong enough to lead to a higher full-year forecast.

With more than 1,200 off-price stores across the country, Burlington said total sales in its first fiscal quarter rose 14% to $2.85 billion, and comparable store sales, or stores that have been open for more than a year, increased 6%. Both were signs that customer traffic and the company’s pricing and selection strategies were working even with more demanding consumers.

Net income for the quarter came in at $115 million compared with $101 million in the year-ago period. Diluted earnings per share (EPS) rose to $1.79 from $1.58 a year earlier, while adjusted earnings came in at $128.9 million, or $2.01 per share, up 26%, and well above the company's own previous guidance of $1.60 to $1.75. It was the company's 14th consecutive quarter of double-digit earnings-per-share growth, the company said, signaling better operations beyond a single-quarter jump.

Indeed, the latest quarter continued a performance that was playing out last year. Burlington closed fiscal 2025 with total sales up 9%, comparable store sales up 2%, net income of $610 million, and an EPS of $9.51. In the fourth quarter of fiscal 2025 alone, sales rose 11%, comparable sales increased 4%, and earnings per share reached $4.84, up 20%.

Margins and Guidance Continue to ImproveBurlington's core business is buying branded goods when available, moving it quickly through its stores, and keeping prices under control. When the three steps work together, growing margins are key to converting sales into higher profits. Formerly known as the Burlington Coat Factory, the company has more recently shifted from e-commerce exposure to all-in-store experiences with some smaller-format store strategies.

The company showed that its strategy is working. Gross margin in the first quarter expanded to 44.1% from 43.8% a year earlier. The margin in the preceding three months was 80 basis points higher than the year before. Adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) in the first quarter rose more than 16% to $284 million.

Management's response to the first-quarter results reinforced these increases. With the first-quarter results, Burlington raised its full-year fiscal 2026 adjusted EPS guidance to a range of $11.45 to $11.80, up from levels set three months earlier. This fiscal year’s projection compares with an adjusted EPS of $10.17 last year.

A Premium Valuation Limits UpsideOverall MarketRank™83rd Percentile

Analyst RatingModerate Buy

Upside/Downside3.8% Upside

Short Interest LevelHealthy

Dividend StrengthN/A

News Sentiment0.76 Insider TradingSelling Shares

Proj. Earnings Growth15.37%

See Full Analysis

Investors have been noticing. The stock is up more than 16% this year and nearly 50% over the past year.

Its current price-to-earnings (P/E) ratio is above 34, with a trailing EPS of $9.73, meaning there’s little room for error as the rest of the year plays out.

Analyst sentiment remains positive, though the expected upside is limited.

Burlington carries a Moderate Buy consensus based on 15 buy ratings and five hold ratings, with an average price target of $353.56, a high target of $411, and a low target of $310.

With shares recently trading around $340, the consensus price amounts to little more than a 5% gain.

Competition and Economic Risks RemainRetail also carries risks of its own. Burlington competes with some formidable opponents. TJX Companies NYSE: TJX and Ross Stores NASDAQ: ROST, both with larger reach, more established buying organizations, and deeply ingrained customer habits.

Off-price retail requires ongoing competition for branded closeouts, inventory updates, and a balanced execution with thousands of daily decisions. While Burlington has been closing the gap with its larger peers, the margin for error is narrow.

The retail sector also contains macroeconomic risk. If inflation, wholesale costs, or a softening labor market begin to squeeze off-price traffic, even a well-run Burlington can feel pinched through smaller basket sizes, more markdown pressures, and more competition for value-oriented shoppers.

Patience May Be RewardedInvestors should recognize that Burlington is a capital appreciation story. It does not pay a dividend, and the return investors receive depends on earnings growth and the market's acceptance of a P/E value slightly above its two top competitors.

Burlington's first-quarter fiscal 2026 report did much to strengthen its execution success. But the stock is well-valued while the economy and competition remain ever-potent factors.

For investors who can accept cyclical risk and are looking to capture a core slice of the American consumer, patience and stock pullbacks could provide a welcome bargain for this off-price retailer.

Should You Invest $1,000 in Burlington Stores Right Now?Before you consider Burlington Stores, you'll want to hear this.

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The shares have risen 25% since Barron's recommended them last year.

Total sales increased 14%, on top of 6% last year Comparable store sales increased 6%Net income was $115 million, and diluted EPS was $1.79 Excluding certain expenses associated with bankruptcy acquired leases:   Adjusted EPS increased 26% to $2.10, well above guidanceFull year adjusted EPS guidance is now $11.45 to $11.80 BURLINGTON, N.J., May 28, 2026 (GLOBE NEWSWIRE) -- Burlington Stores, Inc. (NYSE: BURL), a nationally recognized off-price retailer of high-quality, branded apparel, footwear, accessories, and merchandise for the home at everyday low prices, today announced its results for the first quarter ended May 2, 2026.

Michael O’Sullivan, CEO, stated, “We are pleased with our strong performance in the first quarter. Adjusted EPS grew 26% versus the first quarter of last year, which represented our 14th consecutive quarter of double digit EPS growth. This track record demonstrates our ability to consistently convert sales into operating margin expansion thereby driving strong earnings flow-through.” 

Mr. O’Sullivan continued, “Total sales increased 14%, while comparable store sales increased 6%, well ahead of our guidance. Adjusted EBIT Margin increased 20 basis points, again well ahead of our guidance. This operating margin expansion was driven by ahead of plan sales, higher gross margin, and leverage on supply chain expenses.” 

Mr. O’Sullivan continued, “We are raising our full year Fiscal 2026 sales and earnings guidance, passing through the entire upside from the first quarter to the full year. Our updated guidance is for comp store sales to increase 2% to 4%, and for EPS growth of 13% to 16%. These numbers underscore our ability to convert incremental comp sales into very strong earnings growth.”  

Fiscal 2026 First Quarter Operating Results 

Total sales increased 14% compared to the first quarter of Fiscal 2025 to $2,852 million, while comparable store sales increased 6% compared to the first quarter of Fiscal 2025. Gross margin rate as a percentage of net sales was 44.1% vs. 43.8% for the first quarter of Fiscal 2025, an increase of 30 basis points. Merchandise margin expanded 20 basis points, while freight expense improved 10 basis points as a percentage of net sales.Product sourcing costs, which are included in selling, general and administrative expenses (SG&A), were $216 million vs. $197 million in the first quarter of Fiscal 2025. Product sourcing costs include the costs of processing goods through our supply chain and buying costs. SG&A was 34.7% as a percentage of net sales vs 34.7% in the first quarter of Fiscal 2025. Adjusted SG&A, excluding $7 million and $6 million of expenses, respectively, associated with bankruptcy acquired leases, was 26.8% as a percentage of net sales vs. 26.6% in the first quarter of Fiscal 2025. The effective tax rate was 19.6% vs. 24.1% in the first quarter of Fiscal 2025. The Adjusted Effective Tax Rate was 20.1% vs. 24.1% in the first quarter of Fiscal 2025.Net income was $115 million, or $1.79 per share vs. $101 million, or $1.58 per share for the first quarter of Fiscal 2025. Adjusted Net Income was $134 million, or $2.10 per share, vs. $107 million, or $1.67 per share for the first quarter of Fiscal 2025, excluding $5 million and $4 million, respectively, of expenses in each period, net of tax, associated with bankruptcy acquired leases. Diluted weighted average shares outstanding amounted to 64.1 million during the quarter compared with 64.0 million during the first quarter of Fiscal 2025. Adjusted EBITDA was $284 million vs. $244 million in the first quarter of Fiscal 2025, excluding $7 million and $6 million, respectively, of expenses in each period associated with bankruptcy acquired leases, an increase of 20 basis points as a percentage of sales. Adjusted EBIT was $179 million vs. $152 million in the first quarter of Fiscal 2025, excluding $7 million and $6 million of expenses, respectively, in each period associated with bankruptcy acquired leases, an increase of 20 basis points as a percentage of sales. Inventory

Merchandise inventories were $1,444 million vs. $1,315 million at the end of the first quarter of Fiscal 2025, a 10% increase, driven by our 127 net new stores and a comparable store inventory increase of 11% compared to the first quarter of Fiscal 2025. Reserve inventory was 41% of total inventory at the end of the first quarter of Fiscal 2026 compared to 48% at the end of the first quarter of Fiscal 2025. Reserve inventory is largely composed of merchandise that is purchased opportunistically and will be sent to stores in future months or next season.  Liquidity and Debt

The Company ended the first quarter of Fiscal 2026 with $1,689 million in liquidity, comprised of $747 million in unrestricted cash and $942 million in availability on its ABL facility.During the first quarter of Fiscal 2026, the Company entered into privately negotiated transactions to repurchase $111 million in principal amount of the Company’s outstanding 1.25% Convertible Notes. The total transaction value of $173 million was settled with $129 million in cash and the issuance of 150,831 shares of common stock.The Company ended the first quarter with $1,917 million in outstanding total debt, including $1,716 million on its Term Loan facility, $186 million in Convertible Notes, and no borrowings on its ABL facility. Common Stock Repurchases

During the first quarter of Fiscal 2026, the Company repurchased 257,906 shares of its common stock under its share repurchase program for $81 million. As of the end of the first quarter of Fiscal 2026, the Company had $304 million remaining on its current share repurchase program authorization. Outlook
For Fiscal Year 2026 (the 52-weeks ending January 30, 2027), the Company now expects:

Total sales to increase in the range of 9% to 11% on top of the 9% increase during Fiscal 2025; this assumes comparable store sales will increase in the range of 2% to 4%, on top of the 2% increase during Fiscal 2025; Capital expenditures, net of landlord allowances, to be approximately $875 million; To open approximately 115 net new stores;  Depreciation and amortization to be approximately $465 million;  Adjusted EBIT margin to increase in the range of 10 to 30 basis points versus Fiscal 2025; excluding $10 million of anticipated expenses associated with bankruptcy acquired leases in Fiscal 2026 and $35 million in Fiscal 2025; Net interest expense to be approximately $60 million;  An Adjusted Effective Tax Rate of approximately 25%; and Adjusted EPS in the range of $11.45 to $11.80, as compared to $10.17 of Adjusted EPS last year; excluding $8 million, net of tax, of anticipated expenses associated with bankruptcy acquired leases in Fiscal 2026 and $26 million in Fiscal 2025. This assumes a fully diluted share count of approximately 64 million shares. For the second quarter of Fiscal 2026 (the 13-weeks ending August 1, 2026), the Company expects:

Total sales to increase in the range of 10% to 12%; this assumes comparable store sales will increase in the range of 1% to 3% versus the second quarter of Fiscal 2025; Adjusted EBIT margin to increase 30 to 60 basis points versus the second quarter of Fiscal 2025; excluding approximately $3 million of anticipated expenses associated with bankruptcy acquired leases in the second quarter of Fiscal 2026 and $11 million in the second quarter of Fiscal 2025; An Adjusted Effective Tax Rate of approximately 23%; and  Adjusted EPS in the range of $2.05 to $2.20, as compared to $1.72 in Adjusted EPS last year; excluding $2 million, net of tax, of anticipated expenses associated with bankruptcy acquired leases in the second quarter of Fiscal 2026 and $8 million in the second quarter of Fiscal 2025. The Company has not presented a quantitative reconciliation of the forward-looking non-GAAP financial measures set out above to their most comparable GAAP financial measures because it would require the Company to create estimated ranges on a GAAP basis, which would entail unreasonable effort. Adjustments required to reconcile forward-looking non-GAAP measures cannot be predicted with reasonable certainty but may include, among others, costs related to debt amendments, loss on extinguishment of debt, and impairment charges, as well as the tax effect of such items. Some or all of those adjustments could be significant. 

Note Regarding Non-GAAP Financial Measures

The foregoing discussion of the Company’s operating results includes references to Adjusted SG&A, Adjusted EBITDA, Adjusted Net Income, Adjusted Earnings per Share (or Adjusted EPS), Adjusted EBIT (or Adjusted EBIT Margin), and Adjusted Effective Tax Rate. The Company believes these supplemental measures are useful in evaluating the performance of our business and provide greater transparency into our results of operations. In particular, we believe that excluding certain items that may vary substantially in frequency and magnitude from what we consider to be our core operating results are useful supplemental measures that assist investors and management in evaluating our ability to generate earnings and leverage sales, and to more readily compare core operating results between past and future periods. These non-GAAP financial measures are defined and reconciled to the most comparable GAAP measures later in this document.  

First Quarter 2026 Conference Call

The Company will hold a conference call on May 28, 2026 at 8:30 a.m. ET to discuss the Company’s first quarter results. The U.S. toll free dial-in for the conference call is 1-800-715-9871 (passcode: 8704025) and the international dial-in number is 1-646-307-1963. A live webcast of the conference call will also be available on the investor relations page of the company's website at www.burlingtoninvestors.com.

For those unable to participate in the conference call, a replay will be available after the conclusion of the call on May 28, 2026 beginning at 11:30 a.m. ET through 11:59 p.m. ET on June 4, 2026. The U.S. toll-free replay dial-in number is 1-800-770-2030 and the international replay dial-in number is 1-609-800-9909. The replay passcode is 8704025. 

About Burlington Stores, Inc.

Burlington Stores, Inc., headquartered in New Jersey, is a nationally recognized off-price retailer with Fiscal 2025 net sales of $11.5 billion. The Company is a Fortune 500 company and its common stock is traded on the New York Stock Exchange under the ticker symbol “BURL.” The Company operated 1,242 stores as of the end of the first quarter of Fiscal 2026 in 47 states, Washington D.C. and Puerto Rico, principally under the name Burlington Stores. The Company’s stores offer an extensive selection of in-season, high-quality branded merchandise at up to 60% off other retailers' prices, including fashion-focused women’s apparel, menswear, youth apparel, baby, beauty, footwear, accessories, home, toys, gifts and coats.  

For more information about the Company, visit www.burlington.com.

Investor Relations Contacts:
David J. Glick
Marisa Sharkey
855-973-8445
[email protected]

Allison Malkin
ICR, Inc.
203-682-8225

Safe Harbor for Forward-Looking and Cautionary Statements
This release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements other than statements of historical fact included in this release, including those about the external environment, as well as statements describing our outlook for future periods, are forward-looking statements. Forward-looking statements discuss our current expectations and projections relating to our financial condition, results of operations, plans, objectives, future performance and business. You can identify forward-looking statements by the fact that they do not relate strictly to historical or current facts. We do not undertake to publicly update or revise our forward-looking statements, except as required by law, even if experience or future changes make it clear that any projected results expressed or implied in such statements will not be realized. If we do update one or more forward-looking statements, no inference should be made that we will make additional updates with respect to those or other forward-looking statements. All forward-looking statements are subject to risks and uncertainties that may cause actual events or results to differ materially from those we expected, including general economic conditions, such as inflation, and the domestic and international political situation and the related impact on consumer confidence and spending; competitive factors, including the scale and potential consolidation of some of our competitors, rise of e-commerce spending, pricing and promotional activities of major competitors, and an increase in competition within the markets in which we compete; seasonal fluctuations in our net sales, operating income and inventory levels; the reduction in traffic to, or the closing of, the other destination retailers in the shopping areas where our stores are located; our ability to identify changing consumer preferences and demand; our ability to meet evolving regulatory requirements and stakeholder expectations regarding environmental, social or governance matters; extreme and/or unseasonable weather conditions caused by climate change or otherwise adversely impacting demand; effects of public health crises, epidemics or pandemics; our ability to sustain our growth plans or successfully implement our long-range strategic plans; our ability to execute our opportunistic buying and inventory management process; our ability to optimize our existing stores or maintain favorable lease terms; the availability, selection and purchasing of attractive brand name merchandise on favorable terms; our ability to attract, train and retain quality employees and temporary personnel in sufficient numbers; labor costs and our ability to manage a large workforce; the solvency of parties with whom we do business and their willingness to perform their obligations to us; import risks, including tax and trade policies, tariffs and government regulations; disruption in our distribution network; our ability to protect our information systems against service interruption, misappropriation of data, breaches of security, or other cyber-related attacks; risks related to the methods of payment we accept; the success of our advertising and marketing programs in generating sufficient levels of customer traffic and awareness; damage to our corporate reputation or brand; impact of potential loss of executives or other key personnel; our ability to comply with existing and changing laws, rules, regulations and local codes; lack of or insufficient insurance coverage; issues with merchandise safety and shrinkage; our ability to comply with increasingly rigorous privacy and data security regulations; impact of legal and regulatory proceedings relating to us; use of social media by us or by third parties at our direction in violation of applicable laws and regulations; our ability to generate sufficient cash to fund our operations and service our debt obligations; our ability to comply with covenants in our debt agreements; the consequences of the possible conversion of our convertible notes; our reliance on dividends, distributions and other payments, advance and transfers of funds from our subsidiaries to meet our obligations; the volatility of our stock price; the impact of the anti-takeover provisions in our governing documents; impact of potential shareholder activism; and each of the factors that may be described from time to time in our filings with the U.S. Securities and Exchange Commission, including under the heading “Risk Factors” in our most recent Annual Report on Form 10-K. For each of these factors, the Company claims the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995, as amended. 

    BURLINGTON STORES, INC.
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(unaudited)
(All amounts in thousands, except per share data)
      Three Months Ended   May 2,  May 3,   2026  2025 REVENUES:      Net sales $2,852,310  $2,500,075 Other revenue  4,151   3,945 Total revenue  2,856,461   2,504,020 COSTS AND EXPENSES:      Cost of sales  1,594,804   1,405,091 Selling, general and administrative expenses  989,374   868,058 Costs related to debt amendments and inducement charges  15,315   112 Depreciation and amortization  104,607   91,783 Impairment charges - long-lived assets  807   516 Other income - net  (1,449)  (5,510)Interest income  (6,161)  (4,712)Interest expense  16,495   15,810 Total costs and expenses  2,713,792   2,371,148 Income before income tax expense  142,669   132,872 Income tax expense  27,925   32,039 Net income $114,744  $100,833        Diluted net income per common share $1.79  $1.58        Weighted average common shares - diluted  64,144   64,005           BURLINGTON STORES, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(unaudited)
(All amounts in thousands)       May 2, January 31, May 3, 2026 2026 2025ASSETS     Current assets:     Cash and cash equivalents$747,355 $1,232,525 $371,092Accounts receivable—net 113,984  105,296  106,726Merchandise inventories 1,444,205  1,311,903  1,315,316Assets held for disposal 2,917  3,364  23,717Prepaid and other current assets 196,696  118,444  255,312Total current assets 2,505,157  2,771,532  2,072,163Property and equipment—net 3,262,011  3,164,218  2,698,789Operating lease assets 3,637,851  3,624,786  3,415,265Goodwill and intangible assets—net 285,064  285,064  285,064Deferred tax assets 2,139  2,139  2,248Other assets 84,972  71,318  76,368Total assets$9,777,194 $9,919,057 $8,549,897LIABILITIES AND STOCKHOLDERS' EQUITY     Current liabilities:     Accounts payable$1,050,057 $1,019,152 $914,578Current operating lease liabilities 437,657  425,468  397,550Other current liabilities 644,714  734,000  629,909Current maturities of long term debt and other current debt 20,020  70,591  14,804Total current liabilities 2,152,448  2,249,211  1,956,841Long term debt 1,897,343  2,011,735  1,637,073Long term operating lease liabilities 3,516,527  3,497,343  3,279,926Other liabilities 74,720  75,738  74,104Deferred tax liabilities 299,589  277,771  249,756Stockholders' equity 1,836,567  1,807,259  1,352,197Total liabilities and stockholders' equity$9,777,194 $9,919,057 $8,549,897          BURLINGTON STORES, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(unaudited)
(All amounts in thousands)    Three Months Ended  May 2,  May 3,  2026  2025 OPERATING ACTIVITIES     Net income$114,744  $100,833 Adjustments to reconcile net income to net cash provided by (used in) operating activities     Depreciation and amortization 104,607   91,783 Deferred income taxes 19,955   (3,883)Non-cash stock compensation expense 36,301   21,817 Non-cash lease expense (1,327)  (2,002)Cash received from landlord allowances 20,080   7,811 Inducement charges 15,315   — Changes in assets and liabilities:     Accounts receivable (9,780)  (18,701)Merchandise inventories (132,301)  (64,541)Accounts payable 36,472   (118,535)Other current assets and liabilities (148,279)  (40,425)Other long term assets and liabilities 1,727   (193)Other operating activities 3,952   (2,872)Net cash provided by (used in) operating activities 61,466   (28,908)INVESTING ACTIVITIES     Cash paid for property and equipment (288,723)  (409,700)Lease acquisition costs (923)  (8,404)Net (removal costs) proceeds from sale of property and equipment and assets held for sale (16)  5,421 Net cash used in investing activities (289,662)  (412,683)FINANCING ACTIVITIES     Proceeds from long term debt—ABL Line of Credit —   100,000 Principal payments on long term debt—Term Loan Facility (4,381)  (3,125)Principal payment on long term debt— Convertible Notes (128,638)  (156,158)Purchase of treasury shares (134,259)  (127,563)Other financing activities 10,304   4,831 Net cash provided by financing activities (256,974)  (182,015)Decrease in cash and cash equivalents (485,170)  (623,606)Cash and cash equivalents at beginning of period 1,232,525   994,698 Cash and cash equivalents at end of period$747,355  $371,092                  Reconciliation of Non-GAAP Financial Measures
(Unaudited)
(Amounts in thousands, except per share data)

The following tables calculate the Company’s Adjusted Net Income, Adjusted EPS, Adjusted EBITDA, Adjusted EBIT, Adjusted SG&A and Adjusted Effective Tax Rate, all of which are considered non-GAAP financial measures. Generally, a non-GAAP financial measure is a numerical measure of a company’s performance, financial position or cash flows that either excludes or includes amounts that are not normally excluded or included in the most directly comparable measure calculated and presented in accordance with GAAP.

Adjusted Net Income is defined as net income, exclusive of the following items, if applicable: (i) net favorable lease costs; (ii) costs related to debt amendments and inducement charges; (iii) impairment charges; (iv) amounts related to certain litigation matters; and (v) other unusual or non-recurring expenses, losses, charges or gains, all of which are tax effected to arrive at Adjusted Net Income.

Adjusted EPS is defined as Adjusted Net Income divided by the diluted weighted average shares outstanding, as defined in the table below.

Adjusted EBITDA is defined as net income, exclusive of the following items, if applicable: (i) interest expense; (ii) interest income; (iii) costs related to debt amendments and inducement charges; (iv) income tax expense; (v) depreciation and amortization; (vi) net favorable lease costs (vii) impairment charges; (viii) amounts related to certain litigation matters; and (ix) other unusual or non-recurring expenses, losses, charges or gains.

Adjusted EBIT (or Adjusted Operating Income) is defined as net income, exclusive of the following items, if applicable: (i) interest expense; (ii) interest income; (iii) costs related to debt amendments and inducement charges; (iv) income tax expense; (v) impairment charges; (vi) net favorable lease costs; (vii) amounts related to certain litigation matters; and (viii) other unusual or non-recurring expenses, losses, charges or gains.

Adjusted EBIT Margin (or Adjusted Operating Margin) is defined as Adjusted EBIT divided by net sales.

Adjusted SG&A is defined as SG&A less product sourcing costs, favorable lease costs and amounts related to certain litigation matters.

Adjusted Effective Tax Rate is defined as the GAAP effective tax rate less the tax effect of the reconciling items to arrive at Adjusted Net Income (footnote (f) in the table below).

The Company presents Adjusted Net Income, Adjusted EPS, Adjusted EBITDA, Adjusted EBIT (or Adjusted Operating Income), Adjusted EBIT Margin (or Adjusted Operating Margin), Adjusted SG&A and Adjusted Effective Tax Rate, because it believes they are useful supplemental measures in evaluating the performance of the Company’s business and provide greater transparency into the results of operations. In particular, the Company believes that excluding certain items that may vary substantially in frequency and magnitude from what the Company considers to be its core operating results are useful supplemental measures that assist in evaluating the Company’s ability to generate earnings and leverage sales, and to more readily compare core operating results between past and future periods.

The Company believes that these non-GAAP measures provide investors helpful information with respect to the Company’s operations and financial condition. Other companies in the retail industry may calculate these non-GAAP measures differently such that the Company’s calculation may not be directly comparable.

The following table shows the Company’s reconciliation of net income to Adjusted Net Income and Adjusted EPS for the periods indicated:

   (unaudited) (in thousands,
except per share data) Three Months Ended  May 2,  May 3,  2026  2025 Reconciliation of net income to Adjusted Net Income:     Net income$114,744  $100,833 Net favorable lease costs (a) 1,802   2,138 Costs related to debt amendments and inducement charges (b) 15,315   112 Impairment charges - long-lived assets 807   516 Litigation matters (c) 750   (416)Tax effect (f) (4,523)  (601)Adjusted Net Income$128,895  $102,582 Diluted weighted average shares outstanding (g) 64,144   64,005 Adjusted Earnings per Share$2.01  $1.60          The following table shows the Company’s reconciliation of net income to Adjusted EBIT and Adjusted EBITDA for the periods indicated:

   (unaudited) (in thousands) Three Months Ended May 2,  May 3,  2026  2025 Reconciliation of net income to Adjusted EBIT and Adjusted EBITDA:     Net income$114,744  $100,833 Interest expense 16,495   15,810 Interest income (6,161)  (4,712)Net favorable lease costs (a) 1,802   2,138 Costs related to debt amendments and inducement charges (b) 15,315   112 Impairment charges - long-lived assets 807   516 Litigation matters (c) 750   (416)Income tax expense 27,925   32,039 Adjusted EBIT 171,677   146,320 Depreciation and amortization 104,607   91,783 Adjusted EBITDA$276,284  $238,103          The following table shows the Company’s reconciliation of SG&A to Adjusted SG&A for the periods indicated:                

   (unaudited) (in thousands) Three Months Ended May 2,  May 3,  2026  2025 Reconciliation of SG&A to Adjusted SG&A:     SG&A$989,374  $868,058 Net favorable lease costs (a) (1,802)  (2,138)Product sourcing costs (215,545)  (196,847)Litigation matters (c) (750)  416 Adjusted SG&A$771,277  $669,489          The following table shows the reconciliation of the Company’s effective tax rates on a GAAP basis to the Adjusted Effective Tax Rates for the periods indicated:

   (unaudited) Effective Tax Rates Three Months Ended May 2,  May 3,  2026  2025       Effective tax rate on a GAAP basis19.6% 24.1%Adjustments to arrive at Adjusted Effective Tax Rate (h)0.5  — Adjusted Effective Tax Rate20.1% 24.1%       The following table shows the Company’s reconciliation of net income to Adjusted Net Income for the prior period Adjusted EPS amounts used in this press release for the periods indicated:

    (unaudited)  (in thousands,
except per share data)  Three Months Ended
 Fiscal Year Ended  August 2, 2025  January 31, 2026 Reconciliation of net income to Adjusted Net Income:     Net income$94,185  $610,153 Net favorable lease costs (a) 1,932   7,742 Costs related to debt amendments and inducement charges (b) —   112 Impairment charges 1,580   9,857 Litigation matters (c) 6,750   4,175 Layaway liabilities (d) —   (12,716)Security tags (e) —   11,657 Tax effect (f) (2,690)  (5,297)Adjusted Net Income$101,757  $625,683 Diluted weighted average shares outstanding (g) 63,893   64,126 Adjusted Earnings per Share$1.59  $9.76          (a) Net favorable lease costs represent the non-cash expense associated with favorable and unfavorable leases that were recorded as a result of purchase accounting related to the April 13, 2006 Bain Capital acquisition of Burlington Coat Factory Warehouse Corporation. These expenses are recorded in the line item “Selling, general and administrative expenses” in our Condensed Consolidated Statements of Income.
(b) Fiscal 2026 amount represents an inducement charge related to the Company's exchange of certain of the 2027 Convertible Notes during the first quarter of Fiscal 2026. Fiscal 2025 amount relates to the settlement of the 2025 Convertible Notes during the first quarter of Fiscal 2025.
(c) Relates to the final settlements and amounts charged for certain litigation matters.
(d) Represents a one-time settlement of certain layaway liabilities on our Fiscal 2025 Consolidated Balance Sheet, resulting in a gain.
(e) Represents a one-time write-off to amortization related to certain merchandise security tags on our Fiscal 2025 Consolidated Balance Sheet.
(f) Tax effect is calculated based on the effective tax rates (before discrete items) for the respective periods, adjusted for the tax effect for the impact of items (a) through (e).
(g) Diluted weighted average shares outstanding starts with basic shares outstanding and adds back any potentially dilutive securities outstanding during the period.
(h) Adjustments for items excluded from Adjusted Net Income. These items have been described in the table above reconciling GAAP net income to Adjusted Net Income.

Burlington Stores (BURL - Free Report) came out with quarterly earnings of $2.01 per share, beating the Zacks Consensus Estimate of $1.77 per share. This compares to earnings of $1.6 per share a year ago. These figures are adjusted for non-recurring items.

This quarterly report represents an earnings surprise of +13.42%. A quarter ago, it was expected that this discount retailer would post earnings of $4.7 per share when it actually produced earnings of $4.89, delivering a surprise of +4.04%.

Over the last four quarters, the company has surpassed consensus EPS estimates four times.

Burlington Stores, which belongs to the Zacks Retail - Discount Stores industry, posted revenues of $2.86 billion for the quarter ended April 2026, surpassing the Zacks Consensus Estimate by 1.83%. This compares to year-ago revenues of $2.5 billion. The company has topped consensus revenue estimates three times over the last four quarters.

The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.

Burlington Stores shares have added about 12.9% since the beginning of the year versus the S&P 500's gain of 9.9%.

What's Next for Burlington Stores?While Burlington Stores has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?

There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.

Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.

Ahead of this earnings release, the estimate revisions trend for Burlington Stores was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.89 on $2.96 billion in revenues for the coming quarter and $11.30 on $12.71 billion in revenues for the current fiscal year.

Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Retail - Discount Stores is currently in the top 33% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.

Dollar General (DG - Free Report) , another stock in the same industry, has yet to report results for the quarter ended April 2026. The results are expected to be released on June 2.

This discount retailer is expected to post quarterly earnings of $1.89 per share in its upcoming report, which represents a year-over-year change of +6.2%. The consensus EPS estimate for the quarter has been revised 0.2% lower over the last 30 days to the current level.

Dollar General's revenues are expected to be $10.83 billion, up 3.8% from the year-ago quarter.