A number of stocks jumped in the afternoon session after a key inflation data aligned with forecasts, bolstering hopes for continued interest rate cuts from the Federal Reserve.
Academy Sports & Outdoors (ASO) appears undervalued with a low P/E ratio, strong profitability, and solid financial health, making it a potential pick for value investors seeking to avoid value traps.
Many small-cap stocks have limited Wall Street coverage, giving savvy investors the chance to act before everyone else catches on.
But the flip side is that these businesses have increased downside risk because they lack the scale and staying power of their larger competitors.
Shares of sporting goods retailer Academy Sports & Outdoor (NASDAQ:ASO)
jumped 3.1% in the morning session after a key competitor, Amer Sports, boosted its financial forecast for the third quarter of 2025.
Shares of sporting goods retailer Academy Sports & Outdoor (NASDAQ:ASO)
fell 3.4% in the afternoon session after the stock extended its negative momentum as the company reported second-quarter results that missed Wall Street's expectations for both revenue and earnings.
Sporting goods retailer Academy Sports & Outdoor (NASDAQ:ASO) fell short of the market’s revenue expectations in Q2 CY2025 as sales rose 3.3% year on year to $1.6 billion. On the other hand, the company’s full-year revenue guidance of $6.13 billion at the midpoint came in 0.6% above analysts’ estimates. Its non-GAAP profit of $1.94 per share was 9.1% below analysts’ consensus estimates.
Shares of sporting goods retailer Academy Sports & Outdoor (NASDAQ:ASO)
fell 8.5% in the afternoon session after the company reported second-quarter results that missed analyst expectations for both profit and sales.
Sporting goods retailer Academy Sports & Outdoor (NASDAQ:ASO) missed Wall Street’s revenue expectations in Q2 CY2025 as sales rose 3.3% year on year to $1.6 billion. On the other hand, the company’s full-year revenue guidance of $6.13 billion at the midpoint came in 0.6% above analysts’ estimates. Its non-GAAP profit of $1.94 per share was 9.1% below analysts’ consensus estimates.
ASO stock appears undervalued with a strong P/E ratio, high profitability, and solid financial health, making it a compelling pick for value investors.
A number of stocks fell in the morning session after a hotter-than-expected wholesale inflation report fueled concerns about slowing consumer spending.
A number of stocks jumped in the afternoon session after markets continued to rally amid growing investor optimism for a Federal Reserve interest rate cut in September. This optimism was spurred by a recent Consumer Price Index (CPI) report that did not show runaway inflation, increasing the perceived probability of a rate cut to over 90%. Lower interest rates are generally seen as a positive for the economy as they reduce borrowing costs for consumers, which can stimulate spending on non-essential goods. Consequently, investors bid up shares in the apparel, home furnishings, and automotive retail industries in anticipation of stronger consumer demand.
