Founded in 1938 and headquartered in Katy, Texas, Academy Sports + Outdoors is one of the largest sporting goods and outdoor recreation retailers in the United States. It operates over 250 stores across the South and Midwest, offering a wide range of products—from athletic apparel and footwear to hunting, fishing, and camping gear. Known for its competitive prices and broad product selection, Academy has built a loyal customer base over the decades.

A Jefferies analyst, Jonathan Matuszewski, CFA, explains that Academy’s focus on providing high-quality, budget-friendly options is helping it stand out in today’s changing retail landscape. The company is seeing increased traffic, particularly from higher-income households earning over $100,000 a year, who are seeking value amid economic pressures.

One of the key drivers of this success is Academy’s strategic merchandise updates, which include popular brands like Converse, Air Jordan, and Nike. The company has also been expanding its private-label products—those branded items made exclusively for Academy—which now account for about 23% of total sales. This gives Academy more control over pricing and margins, helping it stay competitive against rivals like Dick’s Sporting Goods and Walmart.

Another important growth driver is Academy’s loyalty program, launched in 2024, which already has over 11 million members. This program encourages repeat customers and helps the retailer build stronger relationships. Additionally, the company is expanding its athletic footwear offerings and carefully curating its merchandise mix to attract more shoppers.

While tariffs and sourcing challenges could pose some hurdles, Academy’s strategic initiatives and its focus on delivering value to customers are positioning it for continued success. It’s a retail story to watch as it continues to grow its market share in 2025.