The Best And Worst Of Retail This Earnings Season

The retail sector is last to report financial numbers for the second quarter, with more than 40 companies have reported their earnings numbers.

As with many earnings seasons, some companies' EPSs exceeded estimates, but revenue fell shy of expectations. Some retailers offered a soft outlook, limiting stock movement. And, there were some companies like Wal-Mart Stores, Inc. WMT, that delivered better-than-expected EPS and revenue. Although investors reacted to Wal-Mart's results positively, the stock gave away more than what it gained after the results.

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One of the possible reasons for investors' sentiments turning negative on such stocks could be the concern on store traffic, which hurt companies like Express, Inc. EXPR in the second quarter. Despite a mixed bag of results, some of the retailers are still gaining considerably while others are on a losing streak. Let's look at the performance of five strong and poor performs.

Poor Performers

  • Express: Down over 25 percent on the week after reporting on August 24.
  • Dollar General Corp. DG: Down 16.86 percent on the week after reporting on August 25.
  • Dollar Tree, Inc. DLTR: Down 10.71 percent on the week after reporting on August 25.
  • Signet Jewelers Ltd. SIG: Down 9.7 percent on the week after reporting on August 25.
  • Target Corporation TGT: Down 6.58 since reporting on August 17.

5 Strong Performers

  • Best Buy Co Inc BBY: Up 20.46 percent on the week after reporting on August 23.
  • Urban Outfitters, Inc. URBN: Up 17.73 percent since reporting on August 16.
  • Guess?, Inc. GES: Up 16.68 percent on the week after reporting on August 24.
  • Foot Locker, Inc. FL: Up 9.42 percent since reporting on August 19.
  • Dicks Sporting Goods Inc DKS: Up 6.96 percent since reporting on August 16.

One indicator of the broader retail sector's performance, SPDR S&P Retail (ETF) XRT, is down 0.74 percent on the week, but up 0.93 percent over the month.

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Posted In: EarningsNewsMoversretail
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