Dick’s Sporting Goods IncWarned of continued pain from promotional environment in footwear and athletic apparel, pressuring margins.
Dick's Sporting Goods shares plunged more than 22% at the open on Tuesday after the retailer warned of continued pain from a promotional environment in footwear and athletic apparel. The update confirmed a similar warning from JD Sports last week about weaker second-half growth in the sporting goods category. UBS analyst Michael Lasser said the key question is whether these conditions persist and how that will affect earnings power. Barclays kept its Overweight rating, citing strength in the core Dick's business, while Citi remained bullish but called the lowered EBIT margin and Foot Locker sales guidance a big negative surprise. The stock hit a new 52-week low of $136.16 during the session.
Dick’s Sporting Goods IncWarned of continued pain from promotional environment in footwear and athletic apparel, pressuring margins.
JD Sports Fashion PLCJD Sports' weaker second-half growth in sporting goods category confirmed by Dick's warning.
Nike Inc
Barclays PLC
UBS Group AG
Citigroup Inc.Foot Locker sales guidance cut, cited as big negative surprise.