Foot Locker Inc (NYSE:FL) shares are trading lower by 3.03% to $24.63 during Tuesday’s session. Shares of athletic apparel and equipment stocks are trading lower after Dick’s Sporting Goods lowered its guidance.
A downward revision in guidance by Dick’s could lead investors to question the overall health of the retail market for sporting goods and apparel. This sentiment could extend to other companies in the same sector, including Foot Locker. Investors may then fear a trend of reduced consumer spending.
What Happened?
Dick’s Q2 sales grew 3.6% Y/Y to $3.22 billion, missing the analyst consensus of $3.23 billion.
Comparable store sales increased 1.8% versus a 5.1% decline a year ago.
Gross profit margin contracted 160 basis points Y/Y to 34.4%. The operating margin contracted 510 basis points to 9.7%, and operating income for the quarter fell 32.3% Y/Y to $311.8 million…Read More
According to data from Benzinga Pro, Foot Locker has a 52-week high of $47.22 and a 52-week low of $23.58.
