NEW YORK (TheStreet) -- Shares of Burlington Stores (BURL) - Get Report are up by 0.37% to $60.25 early Friday morning, after the Florence, NJ-based discount retailer reported better-than-expected 2016 first quarter results.
Yesterday, Burlington reported earnings of 57 cents per share for the first quarter, beating analysts' expectations of 48 cents per share. The company reported that revenue increased by 8.4% year-over-year to $1.28 billion, higher than Wall Street estimates of $1.27 billion.
In addition, Burlington's comparable store sales grew by 4.3% in the first quarter.
As a result, BMO Capital Markets raised its price target to $69 from $59 and reiterated its "outperform" rating on the stock.
"Despite the current market headwinds same-store comps improved 4.3% during the quarter, driven by store traffic and units per transaction. Most notably, BURL's same store sales gained momentum through the quarter and into May," BMO analysts said in an investor note this morning.
Strong first quarter revenue was largely driven by sales of Missy Sportswear, home, beauty, youth apparel and shoes, the firm noted.
Separately, TheStreet Ratings rated Burlington Stores as a "sell" with a score of D.
TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon.
Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author. TheStreet Ratings has this to say about the recommendation:
This is driven by several weaknesses, which TheStreet Ratings believes should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks that are covered.
Among the areas TheStreet Ratings feels are negative, one of the most important has been a decline in the stock price during the past year.
You can view the full analysis from the report here: BURL