Aritzia Inc. stock rallied 19% on Friday, marking its best trading day in over a year after the Canadian clothing retailer reported a quarterly earnings beat and raised full-year guidance. Shares peaked at C$144.77, returning to mid-August levels. The rally was driven by accelerating growth in the US and online sales, with digital revenue and US sales each increasing more than 60% year-over-year.
Aritzia earned C$1.31 per share on an adjusted basis in the second quarter of fiscal 2027, surpassing the C$1.05 per share analyst estimate. The company boosted its fiscal 2027 net revenue guidance to a range of C$4.78 billion to C$4.88 billion, up from the previous C$4.55 billion to C$4.75 billion forecast. Analysts praised the company's robust in-store traffic and rising brand awareness, with Stifel Canada's Martin Landry calling Aritzia "one of the hottest brands in the apparel sector." Investors will receive further insight into Aritzia's trajectory at an investor day scheduled for October 27.
Source: Bloomberg Markets · Summarized by HeadlinesBriefing