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In late-May, we published a research note for our clients that highlighted 14 retailers that we forecasted had upside/downside EPS in 2H 2010 versus consensus sell-side estimates. Here are the final results for the 3-month period (click here) (.pdf):

Our 5 long ideas were down -7.2% versus a decline of -8.5% for the RLX index.

Our 9 short ideas were down -19.9% versus a decline of -8.5% for the RLX index.

We weighted the picks by market cap to preclude a micro-cap selection skewing the results.

On Monday, we again published a report that identified 23 retailers that have material EPS upside/downside in 2H 2010. Approximately half of the 23 companies are on our Honorable Mention list which indicates less conviction.

The full list includes the following companies (alphabetical order):

Aeropostale (ARO – $22.79)
Amazon (AMZN – $126.64)
Ann Taylor (ANN – $15.43)
Bed Bath & Beyond (BBBY - $37.00)
Chico’s (CHS – $8.79)
Chipotle Mexican Grill (CMG – $153.03)
Citi Trends (CTRN – $24.21)
Coldwater Creek (CWTR – $4.69)
The Gap (GPS – $17.03)
Hibbett Sports (HIBB – $23.71)
J. Crew Group (JCG – $31.04)
Kohl’s (KSS – $47.21)
Macy’s (M – $19.60)
NetFlix (NFLX – $126.10)
Nike (NKE – $70.94)
Payless ShoeSource (PSS – $14.09)
Ross Stores (ROST – $50.95)
TJX Companies (TJX – $41.13)
Talbots (TLB – $10.70)
Urban Outfitters (URBN – $31.05)
VF Corp (VFC – $73.88)
Volcom (VLCM – $16.06)
Zumiez (ZUMZ – $15.67)

In 4-6 weeks, we’ll provide the full list again and show you which companies were/are longs and shorts for the next 3 months. We’ll also highlight which companies made the official list or were simply an honorable mention selection.

Disclosure: No positions

Source: Greatest 2H 2010 EPS Upside / Downside Potential