Academy Sports & Outdoors, Inc.

Above-average sporting-goods retailer with strong returns, healthy cash generation, and a clean balance sheet.

Strengths

• ROE 17.4% (75th pct) and ROA 7.1% (84th pct) with operating margin 8.5% (68th pct)
• FCF $222M (76th pct) and moderate leverage (debt/equity 0.22)

Risks

• Revenue growth modest (2%, 34th pct) and net income down ~10%
• Highly discretionary, U.S.-only sales exposed to tariffs and consumer-spending cycles

Notable findings

• Strong balance sheetStrong balance sheet — $330M cash & investments