This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Market Preview: The Trend Turns Ugly

The firm trimmed its expectations for the fourth quarter slightly but said it expects the overall impact of Hurricane Sandy to be basically immaterial, amounting to an earnings hit of 2 cents a share at the most.

"We expect FL to benefit from the post storm replenishment as was the case with Katrina," Sterne Agee said. "FL has said that as of 11-5-12, almost all of their stores are up and running and does not expect the storm to have a significant bearing on the quarter or the year."

The firm is optimistic about next year as well.

"Our checks from numerous retailers indicate that the athletic cycle will remain strong well through 2013," Sterne Agee said. "We believe that there is still low hanging fruit for continued margin expansion over time, including the increased penetration of apparel (from 24% to 30% by FY16), increased penetration in ecommerce (from 5% to 10% by banner), improved systems, and store openings in Europe."

Check out TheStreet's quote page for Foot Locker for year-to-date share performance, analyst ratings, earnings estimates and much more. Other companies reporting on Friday include AnnTaylor Stores (ANN), Casual Male Retail Group (CMRG), Cyberonics (CYBX), Hibbett Sports (HIBB), and J.M. Smucker (SJM).

Friday's economic calendar includes data on net long-term Treasury International Capital flows for September at 9 a.m. ET; industrial production for October at 9:15 a.m. ET; and capacity utilization for October at 9:15 a.m. ET.

And finally, Dell (DELL) was losing ground in late trades after the PC maker came up short in its latest quarter and gave a lackluster outlook.

The Round Rock, Texas-based company posted a non-GAAP profit of $679 million, or 39 cents a share, on revenue of $13.72 billion for the third quarter, below the average estimate of analysts polled by Thomson Reuters for earnings of 40 cents a share on revenue of $13.89 billion.

Dell said it expects a "challenging macro-economic environment" to continue into the fourth quarter and forecast sequential revenue growth of 2%-5% for the January-ending period, implying revenue range of $13.99 billion to $14.41 billion. The current consensus view is for revenue of $14.48 billion in the quarter. For the full year, Dell stuck with its forecast for non-GAAP earnings of at least $1.70 a share, below the analysts' estimate of $1.73 a share.
2 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
DELL $0.00 0.00%
FL $61.44 -0.05%
SHLD $16.38 -9.33%
AAPL $93.74 -1.15%
FB $117.58 0.73%


Chart of I:DJI
DOW 17,773.64 -57.12 -0.32%
S&P 500 2,065.30 -10.51 -0.51%
NASDAQ 4,775.3580 -29.9330 -0.62%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs