Burlington Stores (BURL, $200.12) shares initiated with an "outperform" at RBC Capital
Burlington Stores stock coverage was initiated by an RBC Capital analyst with an outperform rating.
RBC Capital analyst Kate Fitzsimmons expects the off-price department store retailer to continue to narrow its margin gap relative to peers, particularly under the leadership of a new CEO.
Michael O'Sullivan came in as chief executive of Burlington in September. He was previously with Ross Stores. O'Sullivan succeeded Thomas Kingsbury, who stepped down after 10 year as head of the Burlington, N.J., company.
RBC’s outperform rating is based on the analyst’s expectation that Burlington can maintain a 2% to 3% comparative run rate as productivity improves, on the back of ongoing initiatives in merchandising (women's sportswear, home, footwear, and bath-and-body categories), selling and store experience (remodels, higher store wages), and marketing.
Over the next few years, RBC foresees Burlington margins to expand by 1 to 1 1/2 percentage points, to between 10% and 11%, on moderate merchandise margin improvements bolstered by better buying, use of packaway, and lean in-store inventories (as indicated by RBC).
Fitzsimmons wrote about Burlington shares being " expensive but rightly so, given BURL's productivity and margin runway." The analyst has set a price target at $230 for the shares.
Contributor
Sergey Savastiouk, Ph.D. has a degree in Applied Mathematics from Moscow University and has extensive experience as an entrepreneur, investor, manager, and mathematician. His professional expertise is in applied mathematics, mathematical modeling, system and pattern analysis, and software and hardware system integration. He has served as the CEO of several hi-tech start-up companies and nonprofit organizations, which has given him proven capabilities in business strategy for high-tech start-up companies, market assessment, company formation, team building, product development, marketing, and sales. He has published numerous articles in journals and magazines on related fields. As a retail investor, he spent 15 years developing his proprietary trading and quantitative algorithms (now Tickeron’s A.I.), which brought him significant returns in trading the stock market. His current work and goal in founding Tickeron is to bring professional, sophisticated stock market analysis capabilities to retail investors via an easy-to-use interface.
Aroon Indicator for BURL shows an upward move is likely
BURL's Aroon Indicator triggered a bullish signal on August 07, 2026. Tickeron's A.I.dvisor detected that the AroonUp green line is above 70 while the AroonDown red line is below 30. When the up indicator moves above 70 and the down indicator remains below 30, it is a sign that the stock could be setting up for a bullish move. Traders may want to buy the stock or look to buy calls options. A.I.dvisor looked at 249 similar instances where the Aroon Indicator showed a similar pattern. In of the 249 cases, the stock moved higher in the days that followed. This puts the odds of a move higher at .
Technical Analysis (Indicators)
Bullish Trend Analysis
The Stochastic Oscillator is in the oversold zone. Keep an eye out for a move up in the foreseeable future.
BURL moved above its 50-day moving average on July 08, 2026 date and that indicates a change from a downward trend to an upward trend.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where BURL advanced for three days, in of 301 cases, the price rose further within the following month. The odds of a continued upward trend are .
Bearish Trend Analysis
The 10-day RSI Indicator for BURL moved out of overbought territory on July 31, 2026. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 36 similar instances where the indicator moved out of overbought territory. In of the 36 cases, the stock moved lower in the following days. This puts the odds of a move lower at .
The Momentum Indicator moved below the 0 level on August 11, 2026. You may want to consider selling the stock, shorting the stock, or exploring put options on BURL as a result. In of 95 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
The Moving Average Convergence Divergence Histogram (MACD) for BURL turned negative on August 11, 2026. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 43 similar instances when the indicator turned negative. In of the 43 cases the stock turned lower in the days that followed. This puts the odds of success at .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where BURL declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
BURL broke above its upper Bollinger Band on July 15, 2026. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
Fundamental Analysis (Ratings)
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. BURL’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to consistent earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is slightly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: BURL's P/B Ratio (12.180) is very high in comparison to the industry average of (3.483). P/E Ratio (36.556) is within average values for comparable stocks, (23.508). BURL's Projected Growth (PEG Ratio) (0.000) is slightly lower than the industry average of (1.929). BURL has a moderately low Dividend Yield (0.000) as compared to the industry average of (0.033). BURL's P/S Ratio (1.913) is slightly higher than the industry average of (0.785).
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating that the returns do not compensate for the risks. BURL’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 88, placing this stock worse than average.
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General Information
a provider of men's, women's and children's apparel
Industry ApparelFootwearRetail
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