03:13 PM EDT, 08/06/2025 (MT Newswires) -- Dillard's (DDS) is unlikely to provide full-year guidance when it reports Q2 results, which are expected to be "weak," UBS analysts said in a Tuesday report.

The analysts said they believe the department store company's Q2 report won't drive "meaningful changes" on its share price. Although the stock historically reacted by moving 8% following the company's quarterly results, the analysts said they expect less volatility following its Q2 report.

Dillard's is also expected to report a slight quarter-over-quarter slowdown in comparable sales, and continued gross margin compression in Q2, UBS said.

The investment firm projects Q2 comp sales growth to range from flat to down 2% year-over-year, gross margin contraction of 50 to 100 basis points and earnings to miss expectations by $0.22.

The firm maintained a sell rating on the stock with a $170 price target.

Price: 464.64, Change: +1.41, Percent Change: +0.30