NEW YORK (TheStreet) -- Chico's (CHS) - Get Report stock closed higher by 0.74% to $10.85 on Wednesday, ahead of the apparel retailer's fiscal 2016 first quarter financial report, due out before the opening bell on Thursday.

Wall Street is expecting the company to report a year-over-year increase in earnings per share, but a 3.67% decline in revenue.

Analysts have estimated for earnings of 31 cents per share on revenue of $667.86 million for the latest quarter.

Last year, Fort Myers, FL-based Chico's reported earnings of 28 cents per share on revenue of $693.34 million for the fiscal 2015 first quarter.

Additionally, Chico's proposed to declassify its board over three years, which will lead to the entire board standing for election in 2019. Elections would be held annually after 2019. Board members would also be limited to serving on four additional public company boards.

These changes to the company's corporate governance structure come as the company faces a proxy fight from Barrington Capital, an activist hedge fund that has nominated two directors, Reuters reports.

Shareholders will vote on the changes at the annual meeting on July 21.

Separately, Chico's has a "hold" rating and a letter grade of C at TheStreet Ratings because of the company's increase in net income, expanding profit margins and growth in earnings per share, which offsets disappointing return on equity, weak operating cash flow and generally disappointing stock performance.

You can view the full analysis from the report here: CHS

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 article's author.

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