Zacks Investment Research Downgrades Chico’s FAS (CHS) to Hold

Zacks Investment Research downgraded shares of Chico’s FAS (NYSE:CHS) from a buy rating to a hold rating in a research note released on Tuesday morning.

According to Zacks, “Chico’s FAS, Inc. is a cultivator of brands serving the lifestyle needs of fashion-savvy women 30 years and older. Their brand portfolio currently consists of three brands: Chico’s, White House Black Market and Soma. Their brands are all specialty retailers of private label women’s apparel, accessories and related products. Currently, they operate boutiques and outlets throughout the U.S. and Canada, as well as an online presence for each of their brands. “

Separately, ValuEngine raised shares of Chico’s FAS from a hold rating to a buy rating in a report on Monday, August 13th. One research analyst has rated the stock with a sell rating, six have given a hold rating and three have assigned a buy rating to the stock. Chico’s FAS has an average rating of Hold and an average target price of $9.67.

Chico’s FAS stock opened at $7.15 on Tuesday. The stock has a market capitalization of $898.74 million, a price-to-earnings ratio of 10.51, a P/E/G ratio of 1.16 and a beta of 0.78. The company has a current ratio of 2.01, a quick ratio of 1.15 and a debt-to-equity ratio of 0.10. Chico’s FAS has a twelve month low of $6.66 and a twelve month high of $10.90.

Chico’s FAS (NYSE:CHS) last released its quarterly earnings results on Wednesday, August 29th. The specialty retailer reported $0.13 earnings per share for the quarter, beating the Thomson Reuters’ consensus estimate of $0.12 by $0.01. The firm had revenue of $544.72 million for the quarter, compared to analysts’ expectations of $541.02 million. Chico’s FAS had a net margin of 4.06% and a return on equity of 11.79%. The business’s revenue was down 5.9% on a year-over-year basis. During the same period in the prior year, the firm earned $0.18 EPS. As a group, equities analysts forecast that Chico’s FAS will post 0.62 earnings per share for the current fiscal year.

The firm also recently announced a quarterly dividend, which will be paid on Friday, December 21st. Shareholders of record on Monday, December 10th will be given a dividend of $0.085 per share. The ex-dividend date of this dividend is Friday, December 7th. This represents a $0.34 dividend on an annualized basis and a dividend yield of 4.76%. Chico’s FAS’s payout ratio is presently 50.00%.

Several large investors have recently made changes to their positions in the business. Bridgewater Associates LP grew its position in shares of Chico’s FAS by 28.4% during the 2nd quarter. Bridgewater Associates LP now owns 24,935 shares of the specialty retailer’s stock worth $203,000 after purchasing an additional 5,508 shares in the last quarter. Rhumbline Advisers grew its position in shares of Chico’s FAS by 2.0% during the 2nd quarter. Rhumbline Advisers now owns 317,716 shares of the specialty retailer’s stock worth $2,586,000 after purchasing an additional 6,101 shares in the last quarter. Flinton Capital Management LLC grew its position in shares of Chico’s FAS by 35.0% during the 2nd quarter. Flinton Capital Management LLC now owns 24,192 shares of the specialty retailer’s stock worth $197,000 after purchasing an additional 6,272 shares in the last quarter. Wedge Capital Management L L P NC grew its position in shares of Chico’s FAS by 15.9% during the 2nd quarter. Wedge Capital Management L L P NC now owns 46,620 shares of the specialty retailer’s stock worth $379,000 after purchasing an additional 6,402 shares in the last quarter. Finally, GAM Holding AG grew its position in shares of Chico’s FAS by 9.6% during the 3rd quarter. GAM Holding AG now owns 79,827 shares of the specialty retailer’s stock worth $692,000 after purchasing an additional 7,007 shares in the last quarter. Hedge funds and other institutional investors own 97.92% of the company’s stock.

Chico’s FAS Company Profile

Chico's FAS, Inc operates as an omni-channel specialty retailer of women's private branded, casual-to-dressy clothing, intimates, and complementary accessories. The company's portfolio of brands consists of the Chico's, White House Black Market (WHBM), and Soma. The Chico's brand primarily sells private branded clothing focusing on women 45 and older.

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