Markets

Should You Get Rid of Hibbett Sports (HIBB) Now?

Similar to wise buying decisions, exiting certain underperformers at the right time helps maximize portfolio returns. Selling off losers can be difficult, but if both the share price and estimates are falling, it could be time to get rid of the security before more losses hit your portfolio.

One such stock that you may want to consider dropping is Hibbett Sports, Inc.HIBB , which has witnessed a significant price decline in the past four weeks, and it has seen negative earnings estimate revisions for the current quarter and the current year. A Zacks Rank #5 (Strong Sell) further confirms weakness in HIBB.

A key reason for this move has been the negative trend in earnings estimate revisions. For the full year, we have seen seven estimates moving down in the past 30 days, compared with just no upward revisions. This trend has caused the consensus estimate to trend lower, going from $2.86 cents a share a month ago to its current level of $2.74 cents.

Also, for the current quarter, Hibbett Sportshas seen seven downward estimate revisions versus no revisions in the opposite direction, dragging the consensus estimate down to 54 cents a share from 69 cents over the past 30 days.

The stock also has seen some pretty dismal trading lately, as the share price has dropped 12.4% in the past month.

Hibbett Sports, Inc. Price and Consensus

Hibbett Sports, Inc. Price and Consensus | Hibbett Sports, Inc. Quote

So it may not be a good decision to keep this stock in your portfolio anymore, at least if you don't have a long time horizon to wait.

If you are still interested in the Retail - Miscellaneousindustry, you may instead consider a better-ranked stock - Big 5 Sporting Goods Corporation(BGFV). The stock currently holds a Zacks Rank #1 (Strong Buy) and may be a better selection at this time. You can see the complete list of today's Zacks #1 Rank stocks here .

Just Released - Driverless Cars: Your Roadmap to Mega-Profits Today

In this latest Special Report, Zacks' Aggressive Growth Strategist Brian Bolan explores a full-blown technological breakthrough in the making - autonomous cars. He also spotlights 8 stocks with tremendous gain potential to feed off this phenomenon . Click to see the stocks right now >>

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Hibbett Sports, Inc. (HIBB): Free Stock Analysis Report

To read this article on Zacks.com click here.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

In This Story

HIBB

Other Topics

Investing Stocks