June Looks Solid for Specialty Retailers

The first trickling of June same-store sales reports from specialty retailers showed that apparel buying was strong during the month, as several companies reported higher-than-expected results after the bell Wednesday.

Teen retailer Aeropostale(ARO) posted a huge 21.3% jump in June same-store sales with overall sales in the month up 51.6% at $69.6 million. In comparison, the Briefing.com consensus had been calling for a 12.3% increase in June same-store sales.

"Our June results reflect the timely sell through of our summer merchandise as well as a strong customer reaction to our back to school assortment. We ended the month with appropriate inventory levels and we continue to believe that we are well positioned for the back to school selling season," the company said in a statement.

Shares of Aeropostale were down slightly in post-close trading, but had closed the regular session up 8% at $28.77, boosted by news that the stock is now part of the S&P MidCap 400 index.

Rival American Eagle Outfitters(AEOS) said same-store sales jumped 7.6% overall -- beating estimates for a 6.6% increase -- with total sales in the month up 17.6% to $150.8 million.

As a result, the company raised its second-quarter earnings estimate to 30 cents to 32 cents a share, up from a prior estimate of 26 cents to 28 cents a share and above analysts' consensus for 29 cents a share. American Eagle earned 11 cents a share in the year-earlier period.

American Eagle shares were moving 14 cents higher to $30.40 in after-hours trading; they closed the regular session up 62 cents, or 2.1%, at $30.26.

Men's Wearhouse(MW) posted a 6.7% rise in same-store sales, while total sales were up 9.9% at $151.8 million in the five weeks ended July 3. Estimates were calling for a same-store sales rise of 4%.