FINL: The Finish Line Stocks- Time To

Prepare For The Bear?

The Finish Line, Inc is a premium retail major of sportswear, shoes and accessories. This sports
company is headquartered in Indianapolis and has close to 980 stores in the US alone. The
company also operates Jack Rabbit (previously called the Running Specialty Group) according
to Yahoo Finance.
This means a total of 72 stores in 17 US states and the District of Columbia. It therefore has two
divisions. While the Finish Line division is associated with in-store and online retail of athletic
shoes for Macys Retail Holding Inc, and other Macy units, Jack Rabbit division operates in US
states and the district of Columbia. This company's stores stock leading brands Puma, Adidas
and Nike. This company was founded in the year 1976 and is in Indiana.
Analysis of Stocks
The Finish Line Inc (NASDAQ/NBI: FINL) reported results for Q1, 2016 in the period ending
May 28, 2016. According to the company press release, consolidated net sales were around US
$435.5 million marking an increase of 2.3% over the 2015. The Finish Line has comparable sales
volume rise by 1.5%. Diluted EPS was US $0.23, according to Seeking Alpha.
Sam Sato, CEO of the Finish Line has talked of how the company has "delivered first quarter
results that were in-line with expectations despite the challenging retail environment."
More importantly, further progress has been accomplished towards improving execution and
optimisation of the supply chain, according to the company CEO. The focus is on an operating
model that boosts growth.
From US $ 323.3 million, consolidated merchandise inventories rose to US $352.3 million
marking an increase of 9 percent in May 2016 as against the same month in 2015. Finish Line
Inc comparable sales are expected to rise in the 3-5 percent range and EPS to be between US
$1.50 and 1.56.
Following the positive results of Q1, 2016, FINL stocks popped and as the athletic apparel
retailer topped estimates despite Brexit, being one of four stocks to do really well during this
period in this sector, it beat analyst expectations.
Comparable sales rose 1.5 percent to US $453.5 million. A strong growth in Adidas sale, termed
as "explosive growth" by Sato focused on helping to fuel the company's advancement following
its struggle in the previous Quarters.
Company's full year outlook remains largely positive, in spite of the slump faced by sports goods
retailers in recent times. Some like City Sports have even declared bankruptcy.

Conclusion
In such an environment, The Finish Line Inc has operated in terms of profits and provided
investors with steady returns. This stock is a strong candidate for BUY and analysts are largely
hopeful of its positive performance in the time to come, despite challenging times and an
uncertain retail environment.
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Published at: http://daddyinsider.com/index.php/2016/06/30/finl-finish-line-stocks-time-preparebear/