Tue, Feb. 10, 9:16 AM
Mon, Feb. 9, 6:24 PM
- Aeropostale's (NYSE:ARO) FQ4 sales totaled $594.5M, -11% Y/Y but above a $577.7M consensus. Comparable sales fell 9%, a smaller decline than FQ3's 11% and FQ2's 13%.
- The company now expects FQ4 EPS of -$0.01 to -$0.06, above prior guidance of -$0.25 to -$0.31 and a -$0.27 consensus.
- CFO Marc Miller is being moved over to the role of COO. He'll now be responsible for "all aspects of supply chain management, including production, planning and allocation, and logistics, real estate and construction," as well as HR, strategic planning, and new business development.
- David Dick, the CFO of now-bankrupt dELIA's from 2009-2014, is Aeropostale's new CFO.
- Shares have soared to $3.20 AH.
Mon, Feb. 9, 5:37 PM
Tue, Feb. 3, 12:17 PM
- Retail space continues to open up as more companies look to trim their store counts or reposition themselves in front of mergers or bankruptcies.
- In some cases, the transition is based on repositioning assets to online fulfillment centers.
- A quick scan indicates Sears Holdings (NASDAQ:SHLD), J.C. Penney (NYSE:JCP), RadioShack (NYSE:RSH), Dollar Tree (NASDAQ:DLTR), Wet Seal (NASDAQ:WTSL), Macy's (NYSE:M), Haverty Furniture (NYSE:HVT), Bon-Ton Stores (NASDAQ:BONT), Aeropostale (NYSE:ARO), Rent-A-Center (NASDAQ:RCII), and Wolverine Worldwide (NYSE:WWW) are unloading properties.
- Analysts have warned the flooded market could lead to some disappointing transaction prices or lease rates for the companies involved.
- What to watch: A merger between Staples (NASDAQ:SPLS) and Office Depot (NASDAQ:ODP) or a major retooling from Best Buy (NYSE:BBY) this year could add to the tally.
Tue, Jan. 27, 3:42 PM
- Apparel retailers and manufacturers could see lower costs this year as a strong dollar goes a long way toward lowering manufacturing and purchasing expenses overseas.
- Companies which manufacture overseas or buy from global suppliers to sell largely in the U.S. are in the best position to boost their bottom lines.
- Cotton prices have also moved in the right direction for the sector.
- Another factor is the much cleaner inventory position many apparel retailers and department store chains find themselves in heading into the spring selling season.
- Apparel stocks: KATE, ANN, LULU, PVH, VNCE, CRI, UA, HBI, VFC, COLM, GIL, SQBG, JCP, KSS, DDS, M, JWN, ARO, AEO, ANF, WTSL, TLYS, CACH, ZUMZ, PSUN, EXPR, BKE, GIII, SQBG, HBI, VRA, ICON, SHOO, BWS, PERY, DXLG, BONT, GES, URBN.
Thu, Jan. 15, 10:33 AM
- Target's exit from Canada has retail analysts re-evaluating the plans of a number of chains with operations in the region.
- The list below includes companies just entering Canada with a light store count and some well-established chains which have already been trimming.
- Specialty: Chico's FAS (NYSE:CHS), DSW (NYSE:DSW), Hennes & Mauritz (OTCPK:HMRZF), Jimmy Choo, TJX Companies (NYSE:TJX), Moncler, Aeropostale (NYSE:ARO), Versace, Nordstrom.
- Big-box: Best Buy (NYSE:BBY), Wal-Mart (NYSE:WMT), Staples (NASDAQ:SPLS), Sears Canada (NASDAQ:SHLD).
- Previously: Nervous feet for Nordstrom over Canada? (Jan. 15 2015)
- Previously: Full exit from Canada for Target (Jan. 15 2015)
Sun, Jan. 11, 10:44 AM
- The better-than-expected round of reports on holiday sales in the retail sector has improved the outlook on the profitability of chain stores, according to RetailDive.
- Teen Retailers: Out with dark lighting and logo-centric marketing and in with fast-fashion and online fulfillment. American Eagle Outfitters (NYSE:AEO), Aeropostale (NYSE:ARO), and Abercrombie & Fitch (NYSE:ANF) are finally pulling the right levers, according to analysts. Deb's Shops, Delia's, and possibly Wet Seal (NASDAQ:WTSL) won't be around to make the transition. It's Hail Mary time at American Apparel (NYSEMKT:APP).
- Department stores/specialty apparel: Smaller store counts and restructuring initiatives could be the theme in 2015 as mall traffic stays weak. RetailDive doesn't discount turnarounds at Sears Holdings (NASDAQ:SHLD) and J.C. Penney (NYSE:JCP). Gap (NYSE:GPS), Macy's (NYSE:M), and Urban Outfitters (NASDAQ:URBN) are viewed as ahead of the curve in setting their new agenda in place. Soft early comp compares and lower cotton prices could help lift Zumiez (NASDAQ:ZUMZ), Ann (NYSE:ANN), L Brands (NYSE:LB), Pacific Sunwear (NASDAQ:PSUN), and Express (NYSE:EXPR).
- Drugstores 2.0: Significant changes in the sector have given Walgreen Boots Alliance (NASDAQ:WBA), CVS Health (NYSE:CVS), and Rite Aid (NYSE:RAD) the room to grab more market share in healthcare and grocery. A much worse flu season in the U.S. than a year ago has helped the group get off to a good start.
- Previously: Holiday retail sales something of a revelation (Jan. 8)
Thu, Jan. 8, 12:47 PM
Thu, Jan. 8, 11:01 AM
- Uniqlo (OTCPK:FRCOY) reports revenue rose 23% to ¥389B ($3.25B) in FQ1.
- Operating profit rate +230 bps to 19.1%, with gains spread across all three segments (Uniqlo Japan, Uniqlo International, Global Brands).
- The company has a stated goal of maintaining +20% top-line growth through 2020 as it becomes a bigger force in new regions with its lightning-fast ability to bring on-trend products to market.
- Retail analyst Rahul Sharma points out that the strong numbers from the fast-fashion firm pose a threat in the apparel sector.
- Previously: Fast-fashion ace Uniqlo looks to disrupt U.S. market (Sep. 18 2014)
- Related stocks: OTCPK:HMRZF, OTCPK:IDEXY, GPS, URBN, ANF, AEO, ARO, EXPR, PSUN, ZUMZ.
Thu, Jan. 8, 8:10 AM
- Aeropostale (NYSE:ARO) announces comparable-store sales fell 9% during the 9-week holiday season.
- The mark sticks out with several other mall retailers reporting a gain over last year, although Aeropostale notes it held back on promotional activity.
- Total sales -11% to $507.8M.
- The company says it achieved higher margins than expected over the period - leading to a lift in guidance for a smaller loss for FQ4.
- Full results will be released on March 12.
- ARO +4.4% premarket.
Tue, Jan. 6, 11:29 AM
- Specialty retail is set up to see a strong year, according to Jefferies analyst Randal Konik.
- The sector enters the year in a better position than in 2014 with inventory clean and the macroeconomic backdrop looking supportive.
- Comp sales will lag a string of weak quarters and lower cotton prices will filter down to the bottom lines of the group, says Konik.
- Specialty retailers (partial list): EXPR, ZUMZ, PSUN, ARO, AEO, ANF, CACH, CHS, NWY, BEBE, ANN, CBK, GPS, GES, PIR, BBBY, TCS, LE, VRA.
- Related ETFs: XLY, XRT, VCR, RTH, RETL, FXD, FDIS, PMR, RCD
Sun, Jan. 4, 3:49 PM
- The following stocks were the Russell 2000's worst performers in 2014:
- KWK -93.5%. WLT -91.7%. AMZG -89.5%. PHMD -88.2%. EXXI -88%. RGDO -86.8%. REN -85.4%. HERO -84.7%. EOX -84.3%. MCP -94.3%. CVEO -84.2%. BPZ -84.1%. FWM -82.6%. MILL -82.2%. NADL -81.6%. VRNG -81.4%. CYTX -81%. SALT -80.5%. PRKR -80%. MBII -79.7%. NTLS -79.2%. COVS -78.9%. KEG -78.9%. MM 78 MPO -77%. ANR -76.6%. EXEL -76.5%. SZYM -76.3%. CONN -76.2%. ANV -75.5%. GALT -75.5%. ZQK -74.8%. ARO -74.5%. REXX -74.1%. GDP -74%. FUEL -73.8%. QRHC -73.7%. VTG -73.4%. RLOC -73%. XONE -72.2%.
Dec. 23, 2014, 7:25 PM
- It’s pretty clear why many energy stocks are hurting amid falling crude oil prices, but Morgan Stanley has researched across industries to determine some less clear-cut winners and losers.
- Airlines consume huge amounts of fuel, but the firm says American Airlines (NASDAQ:AAL) and Allegiant Travel (NASDAQ:ALGT) should benefit more than most from lower oil prices since they do not hedge the price of fuel to reduce price volatility.
- Among autos, Tesla (NASDAQ:TSLA) draws concern because "lower-for-longer oil certainly hurts the case for mass-market adoption of electric vehicles.”
- Since lower gas prices should reduce shipping costs, Stanley sees the benefit trickling into Q1 per-unit shipping costs at Amazon (NASDAQ:AMZN).
- The firm likes Monster Beverage (NASDAQ:MNST) on the idea that Americans getting cheaper gas might be more ready to splurge on energy drinks, and gas stations and convenience stores account for 75% of MNST’s sales.
- Among apparel companies and retailers, Stanley likes brands that are most popular with lower-income consumers, who they believe are most likely to put the money they save into new purchases: PLCE, FL, FINL, BWS, SKUL, ARO, BURL, ROST.
Dec. 20, 2014, 10:17 AM
- The S&P Retail ETF (NYSEARCA:XRT) is up 3.4% over the last month to outpace the S&P 500 Index as consumer spending trends improve. Analysts have honed in on some categories which show some promise for growth.
- Drugstores: The transition by the sector into more health/wellness services sets it up for new growth channels. CVS Health (NYSE:CVS) reported strong comparable-store sales despite the full tobacco exit, while Rite Aid (NYSE:RAD) is prepping for a roll-out of RediClinics and HealthSpot kiosks. The visibility on Walgreen (NYSE:WAG) is somewhat clouded by the giant Alliance Boots integration, although it's ahead of rivals on the tech front with its rewards program, pharmacy app and developing online doctor concept.
- Athleisure: There's some gender initiatives going on in the athletic apparel sector with Under Armour (NYSE:UA) and Nike (NYSE:NKE) growing their women's business and Lululemon (NASDAQ:LULU) expanding on the men's side. All three companies have been closely on-trend with their assortment in a category with explosive demand. Importantly, pricing has held up this holiday season in the U.S., note retail watchers.
- Online replenishing: Fresh research into shopping trends indicates certain categories see continued buying through the online channel as consumers become attuned to a brand. Retailers positioned well to see more gains from the trend include Williams-Sonoma (NYSE:WSM), Ulta Beauty (NASDAQ:ULTA), Staples (NASDAQ:SPLS), Office Depot (NASDAQ:ODP), Sephora (OTCPK:LVMHF), Dick's Sporting Goods (NYSE:DKS), and of course Amazon (NASDAQ:AMZN).
- P-E buyouts: There are plenty of candidates in the retail sector for a leveraged buyout similar to the action that helped propel shares of PetSmart (NASDAQ:PETM) +40% from their lows. Keep an eye on Abercrombie & Fitch (NYSE:ANF), Aeropostale (NYSE:ARO), and Ann (NYSE:ANN).
Dec. 18, 2014, 7:01 AM
- Apparel prices fell 1.1% in the U.S. during November, according to yesterday's CPI report.
- The drop followed a 0.2% slide in apparel prices for October.
- Retail analysts note that a higher mix of e-commerce sales and the lingering promotional haze threaten margin expansion in the sector, despite overall tighter inventory control.
- Apparel stocks: KATE, ANN, LULU, PVH, VNCE, CRI, UA, HBI, VFC, COLM, GIL, SQBG, JCP, KSS, DDS, M, JWN, RL, ARO, AEO, ANF, WTSL, TLYS, CACH, ZUMZ, PSUN, EXPR, BKE, KORS, UA, GIII, SQBG, HBI, SKX, FL, VRA, ICON, NKE, WWW, DECK, CROX, SHOO, BWS, PERY, DXLG, SHLD, BONT, GPS, GES, URBN.
Dec. 16, 2014, 5:42 PM
ARO vs. ETF Alternatives
Aeropostale Inc is amall-based,specialty retailer of casual apparel and accessories targeting 14 to 17 year-old young women and men through its Aropostale stores and website and 4 to 12 year-olds through its P.S. from Aropostale stores and website.
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