Retail Reports Hold Up

Also, Gap(GPS - Cramer's Take - Stockpickr) is still stumbling as it tries to zero in on what customers want. While the company actually beat Wall Street's earnings-per-share estimates by a penny, it still posted its seventh consecutive quarter of declining profits. It was the eleventh consecutive quarter of declining sales.

Despite the addition of new designers, Gap hasn't yet hit the mark when it comes to fashion. The company said on its conference call that it is narrowing its targeted customer age range, which is a good step, but right now Gap's turnaround isn't even in the first inning. At this point, the players are still taking batting practice.

Still More on Tap

There are a few key retailers left to report next week. Among the highlights are Coldwater Creek (CWTR - Cramer's Take - Stockpickr), Chico's (CHS - Cramer's Take - Stockpickr) and Costco.

Coldwater reports after the close on Tuesday. The company has had a rough start to the year, reporting dismal fourth-quarter results as it was hurt by weak traffic. But sell-side analysts seem to have more confidence in the company recently. Several analysts have started coverage with or reiterated their buy ratings.

Chico's releases its results the following afternoon, and results likely won't be pretty. The women's clothing seller has already estimated sales of $453 million -- about $14 million lower than Wall Street's forecast. Same-store sales have been awful, coming in lower than expected for the past three months. That included a horrendous 7.6% drop in April, when comps had been to grow 0.6%.

Costco, on the other hand, should report solid numbers Thursday morning. Same-store sales have been strong. In April, a month that was difficult for many retailers, Costco's same-store sales climbed 7%, higher than the 6.4% projected by analysts. The number is even more impressive when you consider that it comes on top of a 7% comp the year before.

Costco also is one of the best retailers at managing its margins, so I'm confident there will be no downside surprise.