Cantor Fitzgerald Begins Coverage on Academy Sports and Outdoors (NASDAQ:ASO)

Key Points

• Cantor Fitzgerald initiated coverage of Academy Sports and Outdoors with an “overweight” rating and an $89 price target, implying about 25% upside from the prior close.
• Analyst sentiment is mixed: the stock has a “Moderate Buy” consensus rating and a $60.71 average target, while Loop Capital recently downgraded it to “hold.”
• Academy beat quarterly earnings expectations, posting $2.31 per share versus the $2.07 consensus, with revenue of $1.65 billion, up 3% year over year.

Equities research analysts at Cantor Fitzgerald started coverage on shares of Academy Sports and Outdoors (NASDAQ:ASO - Get Free Report) in a note issued to investors on Monday, FinViz reports. The brokerage set an "overweight" rating and a $89.00 price target on the stock. Cantor Fitzgerald's price objective would indicate a potential upside of 25.04% from the stock's previous close.

ASO has been the subject of a number of other research reports. Loop Capital downgraded Academy Sports and Outdoors from a "buy" rating to a "hold" rating in a report on Tuesday. BMO Capital Markets set a $42.00 target price on Academy Sports and Outdoors and gave the company a "market perform" rating in a research note on Thursday, September 10th. Truist Financial raised their price target on shares of Academy Sports and Outdoors from $52.00 to $54.00 and gave the stock a "hold" rating in a research report on Thursday, September 10th. Telsey Advisory Group upped their price target on shares of Academy Sports and Outdoors from $60.00 to $63.00 and gave the company an "outperform" rating in a report on Thursday, September 10th. Finally, Wells Fargo & Company raised shares of Academy Sports and Outdoors from a "hold" rating to a "buy" rating in a report on Thursday, September 10th. One equities research analyst has rated the stock with a Strong Buy rating, seven have issued a Buy rating and nine have given a Hold rating to the stock. Based on data from MarketBeat.com, Academy Sports and Outdoors has an average rating of "Moderate Buy" and a consensus target price of $60.71.

Academy Sports and Outdoors Trading Up 5.8%

ASO opened at $71.18 on Monday. The firm's 50 day moving average is $53.99 and its 200-day moving average is $53.07. Academy Sports and Outdoors has a 52-week low of $41.29 and a 52-week high of $71.29. The company has a quick ratio of 0.35, a current ratio of 1.74 and a debt-to-equity ratio of 0.23. The firm has a market capitalization of $4.38 billion, a P/E ratio of 11.86, a P/E/G ratio of 0.94 and a beta of 0.94.

Academy Sports and Outdoors (NASDAQ:ASO - Get Free Report) last issued its quarterly earnings data on Wednesday, September 9th. The company reported $2.31 EPS for the quarter, topping analysts' consensus estimates of $2.07 by $0.24. The firm had revenue of $1.65 billion for the quarter, compared to analyst estimates of $1.65 billion. Academy Sports and Outdoors had a net margin of 6.39% and a return on equity of 18.36%. The firm's revenue was up 3.0% compared to the same quarter last year. During the same quarter in the previous year, the business posted $1.94 EPS. Academy Sports and Outdoors has set its FY 2026 guidance at 6.500-6.900 EPS. Analysts expect that Academy Sports and Outdoors will post 6.24 EPS for the current fiscal year.

Insider Activity

In related news, President Samuel J. Johnson sold 70,303 shares of the stock in a transaction dated Tuesday, September 15th. The shares were sold at an average price of $51.79, for a total transaction of $3,640,992.37. Following the sale, the president owned 36,861 shares in the company, valued at $1,909,031.19. This represents a 65.60% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Brian Marley sold 10,432 shares of the firm's stock in a transaction dated Tuesday, September 15th. The stock was sold at an average price of $53.25, for a total transaction of $555,504.00. Following the completion of the transaction, the director directly owned 32,607 shares in the company, valued at $1,736,322.75. This represents a 24.24% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 106,315 shares of company stock valued at $5,576,537 over the last ninety days. Company insiders own 4.08% of the company's stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the company. BlackRock Inc. bought a new stake in Academy Sports and Outdoors during the second quarter worth approximately $468,146,000. Public Employees Retirement System of Ohio acquired a new position in shares of Academy Sports and Outdoors during the 2nd quarter valued at $2,209,000. Fund 1 Investments LLC bought a new stake in shares of Academy Sports and Outdoors in the 2nd quarter worth $1,414,000. Bank of America Corp DE bought a new stake in shares of Academy Sports and Outdoors in the 2nd quarter worth $20,434,000. Finally, Legal & General Group Plc bought a new stake in shares of Academy Sports and Outdoors in the 2nd quarter worth $7,427,000.

About Academy Sports and Outdoors

Academy Sports and Outdoors, Inc is a sporting goods and outdoor recreation retailer that sells products through its stores and e-commerce platform. Its merchandise includes sports and fitness equipment, outdoor and camping gear, hunting and fishing supplies, apparel, footwear and recreation products.

The company serves customers primarily in the southern and eastern United States through a network of retail locations. Its stores offer products for a range of sports and outdoor activities, as well as items for everyday use.

Founded in 1938, Academy began as a family-owned business in Texas and grew into a regional sporting goods retailer.

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