Western apparel retailer Boot Barn saw its shares soar to record heights on Tuesday morning, with a substantial 13% increase by 9:45 a.m. ET. This surge followed the news that two leading analysts had elevated their price targets for the company.
What’s driving Boot Barn’s performance?
Boot Barn’s management is scheduled to present at the Piper Sandler Growth Frontiers Conference later in the day. Ahead of this event, on Monday, the company shared an update on same-store sales trends with investors. The data showed a minor decline in July, followed by a recovery in August, and a further acceleration in September.
These numbers caught Wall Street’s attention, prompting two analysts to adjust their price targets upward. Notably, JPMorgan analyst Matthew Boss increased his target by approximately 10% to $160 per share, as reported by The Fly. This optimistic outlook contributed to the stock reaching an all-time high on Tuesday morning.
Does Boot Barn’s momentum have longevity?
Boot Barn released preliminary figures for its fiscal 2025 second quarter, which indicated strong performance. In the fiscal first quarter, same-store sales had grown slightly over 1% year-over-year. However, the preliminary Q2 figures revealed a 4% increase.
Some investors had been concerned that Boot Barn might be experiencing a temporary surge in popularity. However, the preliminary Q2 results suggest otherwise, as the company continues to defy expectations by expanding its presence with new store openings nationwide. These positive trends offer investors a compelling reason to consider this growth stock.
Buying opportunity: Consider doubling down on these stocks
The Motley Fool Stock Advisor service has significantly outperformed the S&P 500 since its inception in 2002*, demonstrating a knack for identifying when to increase stakes. They have revisited recommendations for several stocks, yielding remarkable returns.
– Nvidia: A $1,000 investment when doubled down in 2009 would now be worth $276,036!*
– Netflix: A $1,000 investment when doubled down in 2004 would now be $364,248!*
– Apple: A $1,000 investment when doubled down in 2008 would have grown to $41,791!*
Opportunity knocks once more. Are you ready to answer?
Discover 3 “Double Down” stocks ›
*Stock Advisor returns as of 09/10/2024
