Zumiez (ZUMZ) AI Stock Analysis

• Market Cap: $368.58M
• Dividend Yield: N/A
• Average Volume (3M): 285.95K
• Price to Earnings (P/E): 30.9
• Beta (1Y): 1.20
• Revenue Growth: 2.81%
• EPS Growth: N/A
• Country: US
• Employees: 2,400
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Apparel - Retail
• EPS (TTM): 1.16
• Shares Outstanding: 16,969,650
• 10 Day Avg. Volume: 300,554
• 30 Day Avg. Volume: 285,947
• PEG Ratio: -0.03
• Price to Book (P/B): 1.27
• Price to Sales (P/S): 0.44
• P/FCF Ratio: 7.60
• Enterprise Value/Market Cap: 1.18
• Enterprise Value/Revenue: 0.47
• Enterprise Value/Gross Profit: 1.31
• Enterprise Value/Ebitda: 10.90
• 1Y Price Target: $24.00
• Price Target Upside: 10.50% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 2
• EPS Forecast (FY): 1.07
• Revenue Forecast (FY): $941.44M

• Rating: 56 Neutral
• Price Target: $22.50 ▲(3.59% Upside)
• Action: Reiterated Date: 03/17/26
• Date: Action: Reiterated 03/17/26

The score is driven primarily by a moderate financial recovery (profitability and free-cash-flow improvement) and a constructive earnings outlook focused on margin gains and disciplined capital returns. These positives are tempered by weak technical momentum and a relatively high P/E without dividend support, alongside cautious near-term guidance and ongoing regional/category headwinds.

Positive Factors

Gross Margin Expansion

A sustained 200bp gross-margin improvement signals structural gains from assortment, pricing and inventory discipline. Higher product margins provide durable earnings leverage versus sales, improving resilience to cost pressures and supporting modest profit growth even if top-line gains remain gradual.

Private-label penetration & assortment

Rising private‑label mix is a durable competitive advantage: exclusive SKUs increase gross margins, reduce promo dependency, and strengthen customer differentiation. Over time this supports margin sustainability, supplier leverage and control over inventory/assortment vs pure third‑party reliance.

Strong balance sheet & capital flexibility

A cash-rich, debt-free position and active repurchase authorization create durable optionality: funds can support buybacks, targeted investment, store rationalization, or weather downturns. Financial flexibility reduces refinancing risk and enables strategic capital allocation over multiple quarters.

Negative Factors

Thin & volatile margins

Despite recent improvement, very low operating and net margins leave limited room for error. Retail margin volatility from markdowns, SG&A or supply swings can quickly erase profits, making durable free‑cash‑flow generation and reinvestment programs vulnerable in economic downdrafts.

International (Europe) weakness

Persistent European softness is a structural growth headwind requiring either margin recovery or costly investment to regain share. Underperformance abroad increases execution complexity, raises inventory and FX risks, and has already driven store rationalization that trims long‑term sales capacity.

Inconsistent cash flow history

Historic swings to negative free cash flow highlight operational sensitivity to sales and inventory cycles. Inconsistent FCF constrains sustained investment, dividends or buybacks and reduces the margin of safety if margins compress again or working capital needs spike.

Zumiez Business Overview & Revenue Model

Company Description

Zumiez Inc., together with its subsidiaries, operates as a specialty retailer of apparel, footwear, accessories, and hardgoods for young men and women. Its hardgoods include skateboards, snowboards, bindings, components, and other equipment. As of February 26, 2022, the company operated 738 stores, including 602 stores in the United States, 52 stores in Canada, 67 stores in Europe, and 17 stores in Australia under the names of Zumiez, Blue Tomato, and Fast Times. The company also operates zumiez.com, zumiez.ca, blue-tomato.com, and fasttimes.com.au e-commerce websites. Zumiez Inc. was founded in 1978 and is headquartered in Lynnwood, Washington.

How the Company Makes Money

Zumiez primarily makes money by retailing branded and private-label merchandise at a markup over its cost of goods sold. The company’s key revenue stream is net sales from (1) physical retail stores and (2) e-commerce websites, where it sells apparel, footwear, accessories, and skateboarding-related hardgoods. Revenue is recognized when products are sold to customers (in-store or shipped/delivered for online orders), while profitability is driven by merchandise margins and sales volume, offset by operating costs such as store labor, occupancy (rent), distribution/fulfillment, marketing, and corporate overhead. Zumiez’s earnings are influenced by product assortment and inventory management (buying the right brands/styles and controlling markdowns), traffic and conversion in stores and online, and seasonal demand patterns. It also benefits from operating multiple banners (Zumiez, Blue Tomato, fasttimes), which expand its geographic reach and customer segments, and from relationships with third-party brands it carries; specific partnership details beyond vendor/brand relationships are null.

Zumiez Financial Statement Overview

Summary

Financials show an early-stage rebound: revenue recovered and profitability returned to positive, with sharply improved 2026 operating/free cash flow. Offsetting this, margins remain thin and results have been volatile across recent years, with historically inconsistent free cash flow.

Income Statement

Revenue has been volatile: a strong rebound in the latest annual period (2026) follows declines in 2024 and 2023. Profitability has improved meaningfully versus the 2024 loss year, returning to a small profit in 2026, but margins remain thin (about 1% net margin and ~2% EBITDA margin), well below the stronger 2021–2022 levels. Overall, the income statement shows an early-stage recovery with still-fragile earnings power.

Balance Sheet

Leverage appears moderate for a retailer, with debt running at roughly ~0.6x equity across periods, and equity remains solidly positive. However, returns on equity have swung from very strong (2022) to sharply negative (2024) and only modestly positive most recently, reflecting uneven profitability. The balance sheet looks serviceable, but earnings volatility increases risk around consistent returns and balance-sheet efficiency.

Cash Flow

Cash generation improved sharply in the most recent year: operating cash flow and free cash flow are both strongly positive in 2026 and free cash flow has accelerated versus the prior year. That said, cash flow has been inconsistent historically (including negative free cash flow in 2023–2024), and operating cash flow remains relatively small versus the debt load, suggesting limited cushion if profitability softens again.

Breakdown	Jan 2026	Jan 2025	Jan 2024	Jan 2023	Jan 2022
Income Statement
Total Revenue	929.06M	889.20M	875.49M	958.38M	1.18B
Gross Profit	332.54M	303.04M	280.89M	324.68M	456.73M
EBITDA	40.01M	24.11M	-39.12M	52.73M	180.74M
Net Income	13.38M	-1.71M	-62.61M	21.03M	119.29M
Balance Sheet
Total Assets	699.84M	634.88M	664.23M	747.90M	862.01M
Cash, Cash Equivalents and Short-Term Investments	160.62M	147.56M	171.58M	173.49M	294.48M
Total Debt	199.33M	199.82M	220.76M	254.29M	267.89M
Total Liabilities	375.56M	305.90M	311.02M	340.57M	393.69M
Stockholders Equity	324.29M	328.98M	353.21M	407.33M	468.32M
Cash Flow
Free Cash Flow	54.29M	5.70M	-5.59M	-26.01M	119.20M
Operating Cash Flow	53.47M	20.70M	14.76M	-379.00K	134.95M
Investing Cash Flow	-6.39M	32.60M	-8.55M	54.21M	101.64M
Financing Cash Flow	-37.34M	-24.60M	704.00K	-87.26M	-191.41M

Zumiez Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 21.72
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ZUMZ, the sentiment is Negative. The current price of 21.72 is below the 20-day moving average (MA) of 24.74, below the 50-day MA of 24.99, and above the 200-day MA of 20.59, indicating a neutral trend. The MACD of -0.84 indicates Positive momentum. The RSI at 35.54 is Neutral, neither overbought nor oversold. The STOCH value of 30.07 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ZUMZ.

Zumiez Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ANF	69 Neutral	$3.90B	9.11	38.98%	―	7.57%	1.75%
URBN	68 Neutral	$5.79B	13.74	17.66%	―	11.09%	51.51%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
ZUMZ	56 Neutral	$368.58M	30.86	4.41%	―	2.81%	―
AEO	54 Neutral	$2.95B	20.90	12.12%	2.09%	-1.15%	-0.98%
CRI	52 Neutral	$1.28B	12.82	10.27%	4.89%	-0.34%	-61.00%
TLYS	50 Neutral	$82.89M	-2.54	-21.26%	―	-8.31%	36.10%

Zumiez Corporate Events

Zumiez Announces New $40 Million Share Repurchase Plan

Zumiez reported that for the fiscal 2025 fourth quarter ended January 31, 2026, net sales rose 4.4% to $291.3 million and comparable sales increased 2.2%, while gross margin expanded by 200 basis points to 38.2% and earnings per share jumped 48.7% to $1.16. For the full fiscal year 2025, net sales grew 4.5% to $929.1 million and comparable sales climbed 4.3%, with the company swinging to net income of $13.4 million, or $0.78 per share, from a $1.7 million loss a year earlier despite a $3.6 million wage-and-hour settlement charge.

The retailer ended January 31, 2026 with $160.6 million in cash and current marketable securities, up from $147.6 million a year before, after repurchasing 2.7 million shares in fiscal 2025 at an average $14.18 for a total of $38.3 million. On March 11, 2026 the board authorized a new stock repurchase program of up to $40 million through January 29, 2028, while management signaled continued portfolio rationalization by planning to open about five new North American stores and close roughly 25 locations in fiscal 2026 amid improving first-quarter-to-date sales trends.

The most recent analyst rating on (ZUMZ) stock is a Hold with a $29.00 price target. To see the full list of analyst forecasts on Zumiez stock, see the ZUMZ Stock Forecast page.

Zumiez Raises EPS Outlook Despite Mixed Holiday Sales

Zumiez Inc. reported that for the nine-week 2025 holiday period ended January 3, 2026, comparable sales rose 2.9% year over year, with North America delivering a strong 6.5% comp increase while international markets, including Europe and Australia, saw an 8.9% decline. Women’s apparel led category growth, followed by men’s, accessories and hardgoods, while footwear was the only segment to post negative comparable sales. Reflecting softer international demand but improved product margins and cost discipline, Zumiez trimmed its fiscal 2025 fourth-quarter net sales outlook to a range of $287 million to $290 million, down from prior guidance, but raised its earnings-per-share forecast to $1.05 to $1.10, signaling that profitability is holding up despite mixed regional performance and underscoring the strategic benefits of its focus on full-price selling and expense management.

The most recent analyst rating on (ZUMZ) stock is a Hold with a $29.00 price target. To see the full list of analyst forecasts on Zumiez stock, see the ZUMZ Stock Forecast page.

Zumiez Extends Revolving Credit Facility Maturity to 2027

On December 17, 2025, Zumiez Inc. and its subsidiaries Zumiez Europe Holding GmbH and Blue Tomato GmbH, along with newly added borrowers Zumiez Services Inc. and Zumiez Canada Holdings Inc., amended their existing revolving credit agreement with PNC Bank, National Association. The amendment extends the maturity of the secured $25 million revolving credit facility, originally dated December 20, 2024 and previously scheduled to mature on December 20, 2025, to December 23, 2027, providing the company and its affiliated borrowers with longer-term access to credit for general corporate purposes and reinforcing their financial flexibility.

The most recent analyst rating on (ZUMZ) stock is a Hold with a $24.00 price target. To see the full list of analyst forecasts on Zumiez stock, see the ZUMZ Stock Forecast page.