Earnings Review: DKS, GRPN, SHLD, JCP, ANF

Published on Friday, 18 May 2012 19:54 Written by Todd Shriber

The S& 500 has lost ground in six consecutive sessions. The Dow Jones Industrial Average has tumbled in 12 of the past 13 trading days. Oil is trading at multi-month lows. Traders are fearful about what the near-term holds for the Euro Zone. Add about all those negative factors and two things are clear. First, it’s not surprising that the S&P 500 fell to its worst weekly loss of the year this week. Second, it’s not surprising that earnings reports are being glossed over. 

Well, there were few marquee reports to take note of this week and we recap them here.

Dick’s Sporting Goods (NYSE: DKS):

Sporting goods retailer Dick’s got a nice pop on Tuesday after it said its first-quarter profit rose to $57.2 million, or 45 cents per share, from $37.5 million, or 30 cents per share, a year earlier. Revenue climbed to $1.28 billion from $1.11 billion. Analysts expected EPS of 38 cents on sales of $1.23 billion. Same-store sales soared 8.4%.

Dick’s raised its full-year guidance to $2.45-$2.48 a share from $2.38-$2.41 a share and said same-store sales will rise 3%-4% ahead of a previous forecast of 2% same-store sales growth. Analysts are expecting EPS of $2.43. The problem now for Dick’s is noted short-seller David Einhonr has voiced bearish comments about the company and is short the shares.

Groupon (NASDAQ: GRPN):

Leading up the Facebook (Nasdaq: FB) Friday, the social media universe got some much needed relief after Groupon reported its first quarterly profit. The company earned 2 cents a share compared with a year-earlier loss of 41 cents a share. On an adjusted basis, the company lost 4 cents, which was inline with analysts’ estimates. Revenue soared 89% to $559.3 million.

Sears Holding (NASDAQ: SHLD):

The embattled retailer got a lift after posting a fiscal first-quarter profit of $189 million, or $1.78 per share, compared with a year-earlier loss of $170 million, or $1.58 per share. On an adjusted basis, Sears lost 31 cents, well below the 67 cents analysts expected. Revenue fell 3% to $9.27 billion, but that beat the $9.26 billion analysts expected.

J.C. Penney (NYSE: JCP):

Speaking of embattled retailers, that’s exactly the status J.C. Penney is deserving of after the company said its fiscal first-quarter loss widened to $163 million, or 75 cents a share, from $64 million, or 28 cents a share, a year earlier. Revenue slid 20% to $3.15 billion as same-store sales tumbled almost 19%. Analysts expected a fall of 11.4%. The Texas-based company also suspended its dividend in an effort to conserve cash. The stock is off 23% in the past week alone.

Abercrombie & Fitch (NYSE: ANF):

The apparel retailer was taken to the woodshed after the company said its first-quarter profit plunged 88% to $3 million, or 3 cents per share, from $25.1 million, or 28 cents per share, a year earlier. Revenue climbed to $921.2 million from $836.7 million. Analysts expected a profit of 2 cents a share on sales of $951.1 million. Same-store sales fell 5%. Abercrombie reiterated full-year EPS guidance of $3.50-$3.75 a share. Analysts are expecting $3.57 a share. The stock has also lost 23% in the past week.