Saks (NYSE: SKS) is Slow
Earnings Info: Earned $.01 cent per share versus a loss of $.32 cents per share in the same period a year ago.
Revenue dropped 8.5%.
Both earnings and revenues beat the consensus earnings estimates by analysts.
Same-store sales declined 10.1%.
“I’d hate to say that things are great. I’d say that things are a lot less bad,” CEO Steve Sadove said.
Comment: Luxury retail needs a long time to recover. Madoff victims are still in fear mode when it comes to spending, and big ticket items are continuing to sit dusty on shelves as the discounts are steepening to create appeal.
Target (NYSE: TGT): It’s pronounced ‘Tarj-ay’
Earnings Info: Earned $.58 cents a share versus $.49 cents a share in the same period a year ago. Consensus earnings estimates by analysts was $.50 cents a share.
Revenue increased 1.1% and beat analyst expectations by a slim margin.
Executive provided a very cautious outlook, “Target remains cautious about fourth quarter performance and is planning conservatively in both business segments.
Comment: Target issued a very conservative report. Their quarter was positive for both profits and sales. Target continues to remain lean and mean during the retail recession. Target continues to provide the luxury thunder to the middle-market consumer.
TJX (NYSE: TJX): TJMaxx taking it to the max
Earnings Info: Profit was $347.8 million, or 81 cents per share — up 32%. Revenue rose 10 percent to $5.24 billion.
Comment: TJX continues to benefit from the down-scaling of the American consumer. Based on their stellar performance, we anticipate many shoppers to flock to TJMaxx for holiday bargains.
Disclosure: No positions in the stocks mentioned.
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