Foot Locker: the best store in the mall

The US retail sector has come under pressure lately. Bellwether companies like Macy’s and Nordstrom recently reported weak results for the third calendar quarter and disappointing guidance for the months ahead. Against this backdrop Foot Locker continues to be the best store in the mall, as consumers keep paying more to dress themselves in athletic gear driving sales and earnings higher for the company. As we entered the November reporting season for retailers we were confronted with bleak news from some of the largest department stores in the country. On 11 November Macy’s, the number 1 department store in the US, reported third quarter sales fell 5 per cent as sales for stores opened more than a year declined by 4 per cent. The next day after market close Nordstrom, the 4th largest department store in the US, reported results “reflecting softer sales trends…across channels and merchandise categories”. By contrast to the results of the retailing behemoths, Foot Locker grew comparable sales by 9 per cent compared to a year earlier. READ THE FULL ARTICLE HERE: (VIEW LINK)