Why the Accent (ASX:AX1) share price is pushing higher today

The Accent Group Ltd (ASX:AX1) share price is pushing higher on Thursday following the release of its analyst presentation…

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The Accent Group Ltd (ASX: AX1) share price is pushing higher on Thursday morning.

At the time of writing, the footwear focused retailer’s shares are up 1.5% to $2.35.

Why is the Accent share price rising?

Investors have been buying Accent shares this morning following the release of an analyst day presentation.

While the presentation didn’t include a trading update, it did come with some valuable information for investors and shareholders.

Store network growth

Accent is continuing to grow its store network and expects to add 90 stores across its numerous brands during FY 2021.

This will bring the total stores in its network up to 609. Given how many retailers have closed down over the last 12 months, this store growth appears to demonstrate the strength and resilience of its business.

New store brand

The company has been busy launching new store brands over the last couple of years. This includes Pivot, Stylerunner, and Subtype (Sneaker LAB).

Management isn’t resting on its laurels and has announced a new store brand launch this morning – 4 Workers.

The presentation explains that 4 Workers, which will open its first store in May, is designed to appeal to workers such as nurses, chefs, and tradies, among others. It will stock footwear and clothing that caters to the healthcare, hospitality, construction, and corporate sectors.

Management believes there is a significant opportunity to capture share in a fast growing market segment.

Loyalty programs

Accent also spoke about the success it is having with its loyalty programs.

It now has over 3.3 million MyFit members and has recently launched the Skechers Insider program. The latter has been a huge success, with 188,000 members joining the program within two weeks of launch.

Accent share price performance

Following today’s gain, the Accent share price is now up 49% over the last six months.

One broker that thinks it can still go higher is Bell Potter. Last month its analysts put a buy rating and $2.65 price target on its shares.

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Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Accent Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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