Retailers' Q2 Reporting Season: Polar Vortex Long Gone

U.S. retailers should face a relatively easy second-quarter earnings season compared with the previous period beset by the polar vortex and the largest number of earnings misses in 13 years. With many economists predicting overall economic growth will run at 3 percent in the second half of the year, a random group of eight major retailers are expected to post average second-quarter sales growth of 5.5 percent. Redbook Research earlier Tuesday said June chain-store sales grew 3.8 percent over a year ago, and forecast July growth of 3.4 percent. But going from the general to the particular, Wall Street expects bellwether Wal-Mart Stores WMT to post sales growth of 1.8 percent to $119.03 billion with earnings down $1.21, from 1.24 a year earlier. Wal-Mart reports Aug. 14. For Home Depot, Inc. HD the consensus calls for 5 percent sales growth to $23.64 billion, with earnings of $1.45. up from $124 a year ago. Home depot reports Aug. 19 J. C. Penney Co. JCP is forecast to post sales of $2.78 billion, up 4.5 percent, with a loss of 24 cents compared with a year-earlier loss of $2.20. Starbucks Corp. (SBUX) will post $4.14 billion in sales, perking up 10.6 percent with earnings of 66 cents a share, up from 55 last year. The company reports July 24. Analysts think Costco Wholesale Corp. COST sales will rise 8 percent to $35.14 billion while earnings will $1.51 from $1.40. Lowe's Cos. (LOW) is seen posting a sales gain of 5.5 percent to $16.58 billion with earnings up to $1.03, from 88 cents. At Nike Inc NKE which reported last week, sales increased 13 percent to $6.97 billion while earnings squeak up to 76 cents a share, from 73 cents. Kohl's Corp. (KSS) sales should fall 0.10 percent to $4.29 billion with earnings of $1.07 up from $1.04