J. Jill Stock Slumps 26% Today – Why Such A Selloff?

• The company opened nine new stores and closed five stores during fiscal 2025.
• JILL said that for the first quarter of fiscal 2026, the company expects its net sales to decline 5% to 7% compared to fiscal 2025.
• Jefferies lowered the firm's price target on J.Jill to $14 from $18 and kept a ‘Buy’ rating on the shares.

Shares of J. Jill (JILL) slumped 26% on Tuesday after it reported a 3.1% decline in its fourth quarter net sales. 

Net sales for the fourth quarter of fiscal 2025 decreased 3.1% to $138.4 million compared to $142.8 million for the fourth quarter of fiscal 2024, it said. Analysts expected revenue of $135.5 million as per data from Stocktwits. 

JILL reported adjusted net loss per diluted share in the fourth quarter of fiscal 2025 at $0.02 compared to adjusted net income per diluted share of $0.32 in the fourth quarter of fiscal 2024.

The company opened nine new stores and closed five stores during fiscal 2025, ending the year with 256 stores compared to 252 stores at the end of fiscal 2024.

Analyst Rationale

Jefferies lowered the firm's price target on J.Jill to $14 from $18 and kept a ‘Buy’ rating on the shares following the company’s earnings report. The analyst told investors in a note that J.Jill delivered Q4 results "above a low bar," but "more importantly" FY26 guidance came in well below Street expectations, driven by cautious demand assumptions and incremental tariff headwinds.

BTIG analyst Janine Stichter lowered the firm's price target on J.Jill to $18 from $21 and kept a ‘Buy’ rating on the shares.

Outlook

JILL said that for the first quarter of fiscal 2026, the company expects its net sales to decline 5% to 7% compared to fiscal 2025. Analysts expected revenue for the quarter at $155.65 million, as per Stocktwits. 

For the full year of fiscal 2026, the company expects net sales to be flat to down 2% compared to fiscal 2025.

JILL said that the outlook assumes an average 20% reciprocal tariff rate on applicable inventory received prior to February 28, 2026, an average 10% reciprocal tariff rate on applicable inventory received after February 28, 2026 through the first quarter of fiscal 2026, and an average 15% reciprocal tariff rate thereafter. 

Retail Reaction

Retail sentiment around JILL trended in ‘bullish’ territory amid ‘high’ message volume. 

Shares in the company are down 19% so far in 2026.