On September 1, Burlington fell 5.18% in regular trading, trading at $258.95/share, with turnover of $247 million. The stock has been under sustained pressure since reporting Q2 earnings on August 27, weighed down by a sharp miss in forward guidance and consecutive target price cuts from major investment banks.

While Burlington posted Q2 adjusted EPS of $2.37, beating the consensus estimate of $2.18 by roughly 8.7%, and total sales rose 11% year-over-year to $3.0 billion, the Q3 outlook disappointed sharply. Management guided Q3 adjusted EPS of $1.60 to $1.70, well below the FactSet consensus of $2.04. Full-year adjusted EPS guidance was raised to $11.77–$11.97, but the midpoint still fell short of the Street estimate of $11.97.

Adding to the pressure, Deutsche Bank on August 31 slashed its target price from $367 to $323 while maintaining a hold rating, while Bank of America also reduced its target from $375 to $365. The wide gap between Q3 guidance and expectations, compounded by multiple analyst downgrades, has continued to weigh on sentiment.

(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)