Big 5 Sporting Goods (BGFV) reported strong earnings last night, and the stock rebounded (up 15%) based off weak expectations for the quarter. In September, I wrote about how I thought the stock was significantly undervalued and that estimates for the stock seemed too bearish. After last night's impressive comp guidance, I am reiterating my low-side valuation of $24 for the stock. Let's get into the details of the earnings report.
Strong Same-Store Sale
The company reported same-store-sales of positive 1.4% percent (broken out as a low-single-digit decrease in customer traffic and a mid-single-digit increase in average ticket). In the current retail environment, I am happy to see any positive result in comps. The stock most likely...
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