Academy Sports and Outdoors: Reiterating Buy As Comp Sales Should Improve From Here
Summary
- I reiterate my buy rating due to management's ability to execute on their strategy and meet consumer demands.
- ASO's management is addressing challenges with big-ticket items by focusing on value and introducing fresh offerings, such as private label products and partnerships with new brands.
- Sales are expected to stabilize and trend upwards, with improvements seen in July and August, and stronger sales anticipated in the second half of the year. Gross margin is also expected to gradually improve.
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