Saks Inc. Q3 Above Consensus, Deutsche Bank Reports

Saks Inc.'s

Q3 EPS of $0.06, ex-items, was above the $0.03 Consensus and up LY, Deutsche Bank reports. “Strong inventory mgmt, full-priced selling, and less promotional activity helped drive gross margins up +227bp y/y, above our estimate,” Deutsche Bank writes. “SG&A deleveraged as variable expense like commissions increased. Inventories are well-positioned entering Q4.” Deutsche Bank maintains its Buy rating on Saks, which currently trades at $11.16.