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The ICR Conference will be held in Orlando, Florida, January 8-10. The retail industry conference is an invitation-only event open to institutional investors, private equity professionals, presenting companies, select media and equity research analysts. ICR is one of the most important retail conferences of the year because can cause share price moves as it typically features a flurry of guidance updates for the key holiday quarter. The general expectation this year is that most companies will report positive fourth-quarter results, but also be cautious about preparing for 2024 due to concerns about consumer spending. Some of the tailwinds seen for the new year in the retail sector include reduced inventories, freight tailwinds, and reduced inflation.
Lululemon's (LULU) update may be the most followed of all after Nike's (NKE) earnings report released in December set a gloomy tone for the retail sector. In the Swoosh's favor, recent channel checks have been strong for Nike (NKE) and markdown activity has been limited. However, Lululemon (LULU) has a three-year streak of seeing its stock price drop immediately following its focus on ICR.
Ahead of the ICR, JPMorgan said most companies in its coverage universe are tracking to meet or beat current fourth-quarter consensus estimates. The firm rated Lululemon Athletica (LULU), Savers Value Village (SVV), Urban Outfitters (URBN) and Abercrombie & Fitch (ANF) as the best. Meanwhile, Bank of America expects Crocs (CROX) to surprise to the upside when it pre-announces fourth-quarter results. Jefferies said it is most bullish on SharkNinja (SN), due to its strong innovation pipeline and opportunities for significant geographic and category expansion, and Five Below (FIVE), due to its strong value offering. BTIG has its eyes on some potential turnaround stories, such as Warby Parker (WRBY) and Revolve Group (RVLV). For his part, Baird pointed to Dutch Bros. (BROS) as a company that could issue fourth-quarter guidance ahead of consensus expectations. Several companies believe that Deckers Outdoor (DECK) can impress investors and analysts with its presentation.
Of note, European Wax Center (EWCZ), Victoria's Secret (VSCO), and Boot Barn (BOOT) all saw double-digit rallies after their ICR filings last year dazzled investors. Torrid Holdings (CURV) heads to ICR with its Alpha Quant Search Rating showing Strong Buy. Walmart (WMT) will send some executives to present at ICR. The retail giant is on a positive trend of seeing share price gains in four of the last five years following its ICR update.
Other companies that will be present at the ICR Conference include Purple Innovation (PRPL), Five Below (FIVE) aka Brands (AKA), On Holding (ONON), BARK (BARK), Aurora Cannabis (ACB), Jack in the Box (JACK), Xponential Fitness (XPOF), Wolverine World Wide (WWW), Urban Outfitters (URBN), Duckhorn Portfolio (NAPA), Solo Brands (DTC), Rush Street Interactive (RSI), Portillo's (PTLO), Dave & Buster's Entertainment (PLAY), Planet Fitness (PNT), Freshpet (FRPT), Dutch Bros (BROS), Domino's Pizza (DPZ), Crocs (CROX), Darden Restaurants (DRI), and Beyond Meat (BYND).
