J.Jill (JILL) Stock Forecast & Price Target

J.Jill Inc has demonstrated a strategic approach to inventory management by increasing promotional activity year-over-year, which has successfully aligned stock levels with improving sales trends as the company entered the second half of the year. Sequential sales and traffic improvements through the second quarter, bolstered by a positive response to promotional activities in July, indicate a rebound in consumer interest and engagement. Additionally, the company's ship-from-store capabilities, combined with advancements in artificial intelligence anticipated for 2026, position J.Jill to capitalize on its loyal customer base, which is considered more resilient to economic fluctuations such as inflation.

J.Jill Inc. is projected to experience low single-digit declines to flat year-over-year revenue growth, attributed to a comparable sales decline within the low to mid-single-digit range. Gross margin is anticipated to decrease significantly, with an expected drop of approximately 200 basis points year-over-year, primarily due to increased selling, general, and administrative expenses and ongoing tariff pressures. Additionally, the company has revised its expectations for new store openings for fiscal year 2025, anticipating only 1-5 new stores, a reduction from the previously projected 5-10, signaling potential limitations in expansion and growth.