(Teen retailer articles updated to reflect Aeropostale's e-comp versus in-store sales.)
NEW YORK ( TheStreet) -- Teen retailers reported better-than-expected December same-store sales on Wednesday and Thursday, winning a holiday game of chicken with bargain-hunting shoppers.
"Retailers have had twelve months to plan for the holiday season and they did a good job," Stifel Nicolaus analyst Richard Jaffe said. "They had the right product at the right price promoted effectively."
The analyst said that no single tool or promotion worked to attract customers. Each company simply dug deep into its arsenal.Also this holiday season, teen retailers appear to have demonstrated that many consumers still prefer the in-store shopping experience. According to the investment firm Needham & Co., online sales comprised just 5% to 10% of the total sales recorded by teen retailers in December. Aeropostale's e-comp sales, for example, were up 44% in December. But even then, they totaled $38 million, which still pales in comparison to the $460.8 million it reaped from its in-store business. Needham analyst Christine Chen singled out Aeropostale (ARO) as a star December performer. The company posted same-store sales growth of 10% for the month, beating analysts' estimates of 3.1%, despite being up against tougher year-over-year comparisons than other retailers. Given those December results, Aeropostale, according to Chen, is looking at earnings growth of 32% to 33% for its fourth quarter.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV