Empirical Financial Services LLC, operating as Empirical Wealth Management, significantly expanded its investment in Buckle, Inc. (BKE) during the first quarter, a move that highlights the firm’s confidence in the retail apparel company’s market position. This substantial increase in holdings, detailed in their recent 13F filing with the SEC, signals a notable shift in their portfolio strategy.
The institutional investor augmented its stake in Buckle by a considerable 36.3%, acquiring an additional 3,521 shares. This acquisition boosted their total ownership to 13,208 shares, reflecting a strategic decision to deepen their commitment to the fashion retailer. Such an increase by a wealth management firm often prompts closer examination from other market participants.
As per its latest SEC filing, Empirical Wealth Management’s collective holdings in Buckle were valued at approximately $506,000. This valuation underscores the financial commitment and the potential impact of their investment decisions on their overall fund performance. The reported value provides a snapshot of their position at the time of the filing.
Empirical’s increased position is not an isolated event; several other prominent institutional investors have also adjusted their stakes in BKE. For instance, Balyasny Asset Management L.P. dramatically grew its holdings by over 500% in the fourth quarter, accumulating nearly 300,000 shares worth almost $15 million. This widespread activity among major players indicates a broader interest in Buckle’s stock.
Nuveen Asset Management LLC and First Trust Advisors LP also significantly increased their shares, holding substantial values in the tens of millions. These movements contribute to the current landscape where institutional investors collectively own a substantial 53.93% of Buckle’s stock, underscoring the company’s appeal within the investment community. The stock’s performance metrics, including its market capitalization of $2.52 billion and a P/E ratio of 12.66, offer further insight into its market standing.
Buckle recently reported strong financial results for the quarter, surpassing analyst expectations with earnings per share of $0.70 against an estimate of $0.65. The company’s revenue for the quarter reached $272.12 million, reflecting a healthy 3.7% growth compared to the previous year. These figures highlight Buckle’s operational efficiency, with a net margin of 15.95% and an impressive return on equity of 43.13%.
The company’s commitment to shareholder returns is evident through its recent quarterly dividend of $0.35 per share, representing an annualized yield of 2.8% and a dividend payout ratio of 35.99%. However, recent insider transactions, including significant stock sales by CEO Dennis H. Nelson and Director James E. Shada, provide a contrasting perspective, with details publicly disclosed in SEC filings.
Beyond financial figures, Buckle, Inc. operates as a prominent retailer specializing in casual apparel, footwear, and accessories for young men and women across the United States. Their diverse product range includes both brand-name and extensive private-label merchandise such as BKE, Buckle Black, Daytrip, and Outpost Makers, catering to a broad demographic and maintaining a strong market presence in the fashion retail sector.
