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Academy Sports Q2 Profit Up 10%, Shares Jump 14%
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Academy Sports and Outdoors Inc. (NASDAQ:ASO) saw its share price jump 14.40% to close at $51.15 on September 9, 2026, after reporting strong second-quarter earnings. The sporting goods retailer grew net income by 10% to $137.9 million from $125.4 million year-over-year, while net sales rose 3% to $1.647 billion from $1.6 billion. The solid performance came despite pressures on consumer spending, particularly among lower-income households. CFO Carl Ford stated the results demonstrate the strength of the business and discipline of the operating model, highlighting double-digit EPS growth, strong free cash flow, and continued capital returns to shareholders. The company updated its full-year 2026 outlook, raising GAAP diluted EPS guidance to $6.05-$6.45 and adjusted diluted EPS to $6.50-$6.90. It also increased its gross margin rate forecast to 35.5%-36% and adjusted free cash flow to $300-$350 million, while maintaining net sales guidance of $6.23-$6.355 billion. Hedge fund holdings in ASO declined to 29 in Q2 from 31 in Q1, with combined holdings falling 29% to $231.8 million.
Source report
Angelica Ballesteros Wed, September 9, 2026 at 5:47 PM PDT | 3 min read
Academy Sports and Outdoors Inc. (NASDAQ: ASO) saw its share price jump 14.40% on Wednesday, closing at $51.15 per share, after reporting strong second-quarter earnings despite weakness in consumer spending trends.
In an earnings call the same day, the sporting goods retailer reported net income of $137.9 million, up 10% from $125.4 million in the same period last year. Net sales rose 3% to $1.647 billion, compared to $1.6 billion year-over-year.
The solid performance came despite ongoing pressure on consumer spending, particularly among lower-income households.
"Our second quarter results demonstrate the strength of the business and the discipline of our operating model. We delivered double-digit EPS growth, produced strong free cash flow, and continued returning capital to shareholders through both share repurchases and dividends. Importantly, we accomplished this while investing in strategic growth initiatives designed to support sustainable long-term growth."
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— Carl Ford, Chief Finance Officer
"As we enter the second half of the year, our balance sheet remains strong, our growth drivers are performing well, and we are well positioned to deliver within our fiscal 2026 outlook."
FY 2026 Outlook
Following the results, Academy Sports updated its full-year 2026 guidance:
- GAAP diluted EPS: $6.05 to $6.45 (raised)
- Adjusted diluted EPS: $6.50 to $6.90 (raised)
- Gross margin rate: 35.5% to 36% (raised)
- Adjusted free cash flow: $300 million to $350 million (raised)
- Net sales outlook: $6.23 billion to $6.355 billion (maintained; implied growth of 3% to 5%)
- Net income: $390 million to $415 million (maintained)
Hedge Funds Cautious
Institutional investors appeared cautious on Academy Sports during the second quarter, as both the number of hedge fund holdings and committed capital declined.
- Hedge fund positions: 29 in Q2, down from 31 in Q1
- Combined holdings: $231.8 million, down 29% from $327.5 million quarter-over-quarter
As these data predate the second-quarter results, investors are now expected to assess whether the latest earnings and outlook are sufficient to restore institutional conviction.
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Yahoo FinanceWestern