Apparel retailer J. Crew Group, Inc. (JCG) late Tuesday said its third-quarter profit more than doubled from last year, helped by sharply higher sales.
The New York-based company reported third quarter net income of $43.9 million U.S., or 67 cents U.S. per share, up from $19 million U.S., or 30 cents U.S. per share, in the year-ago-period.
Revenue jumped 14% from last year, to $414.1 million U.S.
On average, Wall Street analysts expected a smaller profit of 58 cents U.S. per share, on lower revenue of $408 million U.S.
Same-store sales rose 8% from last year. Same-store sales are a key indicator of a retailer's health, since they measure the performance of stores open at least one year.
Looking ahead, the company forecast earnings of 37 cents U.S. to 42 cents U.S. per share for the fourth quarter.
J. Crew shares rose $3.54 U.S., or 8.7%, in premarket trading Wednesday.
The Bottom Line
Shares of JCG are slightly off the 52-week highs of $44 U.S. a share. The stock has technical support in the $35-$37 U.S. price area. If the shares can build on today's early momentum, stock watchers see overhead resistance around the $44-$47 U.S. price levels. This non-dividend paying stock is currently not rated, but is followed closely.
J. Crew Group, Inc. (JCG) is not recommended at this time, holding a Dividend.com DARS Rating of 0.0 out of 5 stars.
