Retailer Roundup: Your Cheat Sheet to the Winning and Losing Stocks
Holiday sales data from December is starting to trickle in. Here’s your Cheat Sheet to the current winners and losers:
Abercrombie & Fitch Co. (NYSE:ANF): Winner
Teen retailer Abercrombie & Fitch Co. (NYSE:ANF) was one of the biggest winners in December. The “cool kids” go-to clothing outlet crushed Wall Street’s expectations with a 15% increase in sales (50% higher than analyst estimates).
Limited Brands Inc. (NYSE:LTD): Winner
Limited Brands Inc. (NYSE:LTD) was a winner with a 5% increase in sales. The clothing conglomerate was especially excited by outsized sales at the popular Victoria’s Secret.
Costco (NASDAQ:COST): Neutral
Warehouse retailer Costco (NASDAQ:COST) was a rare neutral. The company was expected to have same-store sales of 6.2%, but slightly under-delivered at 6%. Shares are flat as investors aren’t concerned.
Family Dollar Stores Inc. (NYSE:FDO): Loser
Shares of discounter Family Dollar Stores Inc. (NYSE:FDO) were marked-down 8.5% yesterday after their earnings missed expectations and the company lowered their outlook. Wall Street analysts disagree whether this is a sign shoppers are starting to loosen the purse strings in a strengthening economy.
Gap Inc. (NYSE:GPS): Loser
Clothing retailer Gap Inc. (NYSE:GPS) was expected to increase same-store sales, but the company had a 3% decline in stores open more than a year. Gap had a logo controversy this fall, but it seems the extra press didn’t help. Shares are getting whacked 7%.
American Eagle Outfitters Inc. (NYSE:AEO): Loser
The other hot teen retailer American Eagle Outfitters Inc. (NYSE:AEO) didn’t sell as well as ANF goods. However, shares are higher today on renewed takeover talk. Looks like a “heads I win, tails I win” for AEO shareholders.
Macy’s (NYSE:M): Loser
Department store Macy’s (NYSE:M) also came in lighter than Wall Street hoped. Although Macy’s CEO Terry Lundgren blamed the shortfall on a December 26 snow storm, we’ll have to wait to see if snowed-in shoppers expressed their pent up demand in January.
Wet Seal Inc. (NASDAQ:WTSLA): Loser
Shares of teen retailer Wet Seal Inc. (NASDAQ:WTSLA) are getting crushed today as December sales dipped 2.1% and the company said it will come in on the lower end of earnings projections. The company has been under criticism for heavy promotions going into the holiday season, and analysts seem to be vindicated with that concern.
Zumiez Inc. (NASDAQ:ZUMZ): Loser
Board sport retailer Zumiez (NASDAQ:ZUMZ) is also getting an extreme makeover on Wall Street. Shares are down over 10% as snowmageddon didn’t help sell as many snowboards as analysts hoped.
Target (NYSE:TGT): Loser
Big box retailer Target (NYSE:TGT) did worse than expected in December. The company admitted: “December sales were below expectations, as strength in Grocery and Apparel was offset by softness in Electronics, Toys and some Home categories.” Shares are down 5.6%.
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