J.Jill (JILL) Stock Forecast & Price Target

J.Jill Inc. has shown resilience in its financial performance, with Direct sales rising 2.0% year-over-year due to enhanced online traffic and ship-from-store capabilities, indicating effective channel management. The company has maintained control over its inventory levels despite the inclusion of $6 million in incremental tariffs, positioning itself favorably as it approaches the holiday season and FY26. Furthermore, J.Jill's sales decline improved sequentially and its comparable store sales significantly outperformed consensus expectations, underscoring the brand's operational efficiency and growth potential.

J.Jill Inc. has reported a decline in its adjusted EBITDA margin, which fell 160 basis points to 16.1% in the third quarter, indicating potential challenges in profitability. The company's operating margin contracted by 180 basis points year-over-year to 12.3%, suggesting pressures from lower gross margins and ongoing tariff impacts, with expectations of further declines. Additionally, J.Jill's revenue guidance forecasts a low-single-digit decline to flat year-over-year growth, coupled with a projected full-year adjusted EBITDA of $80MM to $82MM, which falls short of previous consensus estimates.