Burlington Stores, Inc. (BURL) is an off-price retailer of branded apparel products. Despite supply chain constraints and price challenges, the company recently delivered a better-than-estimated performance for the third quarter, on both its top-line and bottom-line fronts.
Management expects logistics bottlenecks to subside in the future and sees it as an opportunity to drive operational performance. With these developments in mind, let’s have a look at what’s changed in BURL’s key risk factors that investors should know.
According to the TipRanks Risk Factors tool, Burlington Stores’ top two risk categories are Finance & Corporate and Ability to Sell, contributing 44% and 20% to the total 41 risks identified, respectively. Compared to a sector average of 31%, BURL’s Finance & Corporate risk factor is at 44%.
In its recent quarterly report, the company has added one key risk factor under the Finance & Corporate risk category.
BURL highlighted the shares repurchased during the quarter and the quantities withheld (201 shares) for tax payments due upon the vesting of employee-restricted stock awards. It noted that this does not reduce the dollar value that may yet be purchased under the company’s publicly announced share repurchase programs. In August 2021, BURL’s board authorized a stock buyback program of up to $400 million. This buyback is authorized to be executed through August 2023.
Hedge Fund Activity
According to TipRanks data, Wall Street’s top hedge funds have increased holdings in Burlington Stores by 27.5 thousand shares in the last quarter, indicating a positive hedge fund confidence signal in the stock based on activities of five hedge funds in the recent quarter. Notably, Ray Dalio’s Bridgewater Associates has purchased BURL shares worth $330,642.
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