Tailored Brands, Inc. (NYSE: TLRD)
Tailored Brands, Inc. (TLRD), a north american specialty retailer company yesterday reported their second quarter fiscal 2016 financial results. Tailored reported second quarter earnings of $0.99 per share which beat analyst expectations of $0.93 per share. Tailored reported second quarter revenues of $909.7 million which beat analyst expectations of $886.44 million.
Tailored Brands, Inc. CEO’s Comments
“We are pleased to report a 2.9% comparable sales increase at Men’s Wearhouse. In addition, Jos. A. Bank’s 16.3% comparable sales decline was consistent with the trend we saw in the first quarter and in line with our expectations,” said Doug Ewert, president and chief executive officer of Tailored Brands. “Our second quarter results showed improvement compared to the first quarter yet reflected a challenging retail apparel spending environment as well as the continued transitioning of our Jos. A. Bank business. “We continue to execute our transition plan for Tailored Brands and are on track to achieve our targeted $50 million of cost savings in fiscal 2016. Our store base rationalization is well underway. During the second quarter, we closed 86 stores, including 45 Jos. A. Bank factory stores and eight Men’s Wearhouse outlet stores, and we remain on schedule to close approximately 250 stores during fiscal 2016,” said Ewert. “We maintain our outlook for full year adjusted EPS in the range of $1.55 to $1.85 per diluted share. Our full year guidance, reflective of a cautious retail environment, assumes slightly lower comparable sales growth at Men’s Wearhouse and better comparable sales performance at Jos. A. Bank, including positive comparable sales for Jos. A. Bank in the fourth quarter. “We remain positive on the long-term outlook for Tailored Brands and our positioning for sustainable growth and profitability. In addition to rightsizing our Jos. A. Bank business, we are advancing our initiatives to drive top-line growth and profitability, including introducing innovative product offerings such as custom clothing and strengthening our omni-channel capabilities to better serve our customers.” PR Newswire
TLRD Technical Analysis
TLRD opened trading yesterday at $13.76 which was down from the previous days trading of $13.81. TLRD closed trading yesterday at $14.23 and spiked up after market to $15.80, equivalent to a 11% increase from the closing price. Taking a look at the daily chart we can see the last time TLRD traded below these levels we have to go back to May 9th when it traded at $15.91. Taking a closer look at the daily chart we can see that TLRD has been in an overall upward trend dating back to June 27th when it traded at $11.23. TLRD has a float of 42.08 million shares and traded 1.65 times the normal daily trading volume on Wednesday. For trading purposes, I would like to see TLRD open trading on Thursday above $15.30 and if it does I would be looking to take a long position at the bell. My stop loss would be $0.30 from my entry position fearing anything more than that and the stock would start to fill in the gap up.
Tailored Brands, Inc. operates as a specialty apparel retailer in the United States, Puerto Rico, and Canada. The company operates in two segments, Retail and Corporate Apparel. The Retail segment offers suits, suit separates, sport coats, slacks, formalwear, business casual, sportswear, outerwear, dress shirts, dress pants, ties, shoes, and accessories for men in classic, modern, and slim fits in various sizes; and a selection of tuxedo rental products. It also offers women’s career apparel, sportswear, shoes, and accessories; children’s apparel; alteration services; and retail dry cleaning, laundry, and heirlooming services. As of January 30, 2016, this segment operated 1,724 stores under the Men’s Wearhouse/Men’s Wearhouse and Tux, Jos. A. Bank, Joseph Abboud, Moores, and K&G brands; menswearhouse.com, josbank.com, and josephabboud.com Internet sites; and 35 retail dry cleaning, laundry, and heirlooming facilities. The Corporate Apparel segment provides corporate clothing uniforms and work wear to workforces under the Twin Hill, Dimensions, Alexandra, and Yaffy brands through various channels, including managed corporate accounts and catalogs, as well as through twinhill.com, dimensions.co.uk, and alexandra.co.uk Internet sites. This segment serves companies and organizations in the airline, retail grocery, retail, banking, distribution, travel and leisure, postal, security, healthcare, and public sectors. The company was formerly known as The Mens Wearhouse, Inc. and changed its name to Tailored Brands, Inc. in February 2016. Tailored Brands, Inc. was founded in 1973 and is based in Houston, Texas. Yahoo Finance