Academy Sports and Outdoors (NASDAQ:ASO) Shares Gap Up Following Strong Earnings

Key Points

• Academy Sports and Outdoors shares jumped 9.2% after the retailer reported quarterly EPS of $2.31, beating analysts’ $2.07 estimate. Revenue rose 3.0% year over year to $1.65 billion, in line with expectations.
• The company declared a quarterly dividend of $0.15 per share, equivalent to $0.60 annually and a 1.2% yield. Fiscal 2026 EPS guidance was set at $6.50–$6.90.
• Despite the earnings beat, Wall Street remains cautious: the stock carries a consensus “Hold” rating and an average price target of $57.14, with several analysts recently lowering their targets.

Academy Sports and Outdoors, Inc. (NASDAQ:ASO - Get Free Report) gapped up before the market opened on Wednesday following a stronger than expected earnings report. The stock had previously closed at $44.71, but opened at $47.74. Academy Sports and Outdoors shares last traded at $49.1390, with a volume of 942,555 shares trading hands.

The company reported $2.31 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.07 by $0.24. The firm had revenue of $1.65 billion during the quarter, compared to analysts' expectations of $1.65 billion. Academy Sports and Outdoors had a net margin of 6.24% and a return on equity of 17.85%. The firm's revenue was up 3.0% compared to the same quarter last year. During the same quarter last year, the company posted $1.94 earnings per share. Academy Sports and Outdoors has set its FY 2026 guidance at 6.500-6.900 EPS.

Academy Sports and Outdoors Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 14th. Shareholders of record on Wednesday, September 16th will be paid a dividend of $0.15 per share. The ex-dividend date is Wednesday, September 16th. This represents a $0.60 dividend on an annualized basis and a dividend yield of 1.2%. Academy Sports and Outdoors's dividend payout ratio (DPR) is presently 10.56%.

Wall Street Analyst Weigh In

A number of analysts have recently commented on the company. Truist Financial lowered their target price on Academy Sports and Outdoors from $54.00 to $52.00 and set a "hold" rating on the stock in a research note on Wednesday, June 10th. UBS Group reissued a "neutral" rating on shares of Academy Sports and Outdoors in a report on Wednesday, September 2nd. BMO Capital Markets began coverage on Academy Sports and Outdoors in a research report on Tuesday. They issued a "market perform" rating and a $42.00 price objective on the stock. JPMorgan Chase & Co. dropped their price objective on shares of Academy Sports and Outdoors from $60.00 to $59.00 and set a "neutral" rating on the stock in a research note on Wednesday, June 10th. Finally, Barclays cut their target price on shares of Academy Sports and Outdoors from $55.00 to $50.00 and set an "equal weight" rating for the company in a report on Thursday, June 11th. One analyst has rated the stock with a Strong Buy rating, six have given a Buy rating, eight have issued a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat, the stock presently has a consensus rating of "Hold" and an average price target of $57.14.

Hedge Funds Weigh In On Academy Sports and Outdoors

Several institutional investors and hedge funds have recently modified their holdings of ASO. Northwestern Mutual Wealth Management Co. purchased a new position in Academy Sports and Outdoors during the second quarter worth approximately $38,000. EverSource Wealth Advisors LLC raised its stake in shares of Academy Sports and Outdoors by 38.9% during the 1st quarter. EverSource Wealth Advisors LLC now owns 921 shares of the company's stock worth $52,000 after buying an additional 258 shares during the period. State of Wyoming acquired a new position in shares of Academy Sports and Outdoors during the 2nd quarter worth approximately $55,000. Advisory Services Network LLC purchased a new position in shares of Academy Sports and Outdoors during the 3rd quarter valued at approximately $61,000. Finally, Clearstead Advisors LLC lifted its position in shares of Academy Sports and Outdoors by 192.6% during the 4th quarter. Clearstead Advisors LLC now owns 1,311 shares of the company's stock valued at $65,000 after buying an additional 863 shares in the last quarter.

Academy Sports and Outdoors Stock Up 9.2%

The stock has a market cap of $3.03 billion, a price-to-earnings ratio of 8.63, a PEG ratio of 0.66 and a beta of 1.02. The business's 50 day moving average is $46.75 and its 200-day moving average is $51.71. The company has a debt-to-equity ratio of 0.23, a quick ratio of 0.36 and a current ratio of 1.68.

About Academy Sports and Outdoors

Academy Sports and Outdoors is a leading specialty retailer of sporting goods and outdoor gear, operating more than 260 stores across the United States. Headquartered in Katy, Texas, the company offers a broad assortment of merchandise spanning athletic footwear and apparel, team sports equipment, camping and outdoor recreation products, hunting and fishing supplies, and fitness accessories. In addition to its brick-and-mortar footprint, Academy serves customers through its e-commerce platform, offering online ordering, in-store pickup, and home delivery options.

The company's product portfolio includes seasonal and year-round categories designed to meet the needs of both casual enthusiasts and serious athletes.

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