Foot Locker shares surge the most in 40 years after earnings beat

Posted November 18, 2017

The firm presently has a "hold" rating on the athletic footwear retailer's stock.

The company's stock is now moving with a -ve distance from the 200 day SMA of approximately -42.32%, and has a solid year to date (YTD) performance of -55.99% which means that the stock is constantly adding to its value from the previous fiscal year end price. AMG National Trust Bank's holdings in Foot Locker were worth $531,000 as of its most recent filing with the Securities and Exchange Commission. The firm has "Sell" rating by Zacks given on Monday, September 21. Morgan Stanley reaffirmed an overweight rating and issued a $50.00 target price (down from $65.00) on shares of Foot Locker in a report on Tuesday, August 29th. Finally, Credit Suisse Group reaffirmed a neutral rating and issued a $52.00 target price (down from $66.00) on shares of Foot Locker in a report on Tuesday, August 1st.

Several research firms recently commented on FL. Jefferies Group LLC set a $61.00 target price on shares of Foot Locker and gave the company a "buy" rating in a research note on Friday. The stock now has an average rating of "Hold" and a consensus price target of $58.80. Foot Locker, Inc. (FL) has made its way to a 12-month decline of -58.01%. The stock had a trading volume of 4,970,800 shares, compared to its average volume of 3,295,162. The firm has a market capitalization of $3,675.29, a price-to-earnings ratio of 6.62, a price-to-earnings-growth ratio of 2.07 and a beta of 0.66. Foot Locker, Inc. has a 52 week low of $28.42 and a 52 week high of $79.43.

The company now has an insider ownership of 0.2 Percent and Institutional ownership of 99.3 Percent. Comps are still negative, but the 3.7% decline is far better than the 6% decline reported last quarter. The athletic footwear retailer reported $0.62 EPS for the quarter, missing the consensus estimate of $0.90 by ($0.28).

The company said revenue for the quarter fell 1.1% to $1.87 billion. Foot Locker Inc. had 102 analyst reports since July 21, 2015 according to SRatingsIntel.

Gross margins also declined in the period, to 31.0% percent of sales from 33.9% past year. Research analysts expect Foot Locker to earn $3.73 per share next year, which means the company should continue to be able to cover its $1.24 annual dividend with an expected future payout ratio of 33.2%.

A woman shops inside a Foot Locker store in New York, May 28, 2010.

TRADEMARK VIOLATION NOTICE: This news story was first posted by StockNewsTimes and is owned by of StockNewsTimes. If you are viewing this story on another site, it was copied illegally and reposted in violation of US and global trademark & copyright laws. Foot Locker, Inc. (NYSE:FL) has risen 0.29% since November 15, 2016 and is uptrending.

Several hedge funds have recently modified their holdings of the stock. Penserra Capital Management LLC lifted its position in shares of Foot Locker by 13.0% in the second quarter. The average 1-year price objective among analysts that have updated their coverage on the stock in the last year is $56.18.

The stock had fallen more than 55% before Friday's earnings report as new athletic footwear styles failed to excite shoppers amid competition from the online segment led by Amazon. The Company, through its subsidiaries, owns and operates Dover International Speedway in Dover, Delaware, and Nashville Superspeedway near Nashville, Tennessee.

Foot Locker's stock value has been cut roughly in half this year as the company's results grew more discouraging.