It was hard enough figuring out what was cool back in high school; retailers that cater to the fickle tastes of that group can only hope that the cool kids wear their clothes, and everyone else follows their lead. Teen retailers in general had a very tough month in October, acording to same-store sales data released today. The group missed sales estimates by 2.2 percentage points, according to Thomson Reuters.
Wet Seal (WTSLA) posted a 9.7% same store sales decline against expectations for a 1% decline; shares dropped 10%. Hot Topic (HOTT) shares fell 11% even after the retailer said that same store sales had fallen 1.6% in the 13 weeks ending Oct. 29.
And Abercrombie & Fitch (ANF), which reported earnings on Thursday morning, said sales were slowing in Europe amid the declining economy in the region. Shares plunged 19%.
But Aeropostale (ARO), which also reported earnings, raised its profit outlook despite posting a 9% decline in same store sales in the quarter; shares jumped 16%. And American Eagle Outfitters (AEO) rose 6.5% after boosting the low end of its earnings guidance range to 26 cents from 22 cents.
No comments:
Post a Comment