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NEW YORK (
TheStreet) - Retail sector stocks were overwhelmingly in the black Tuesday after a plethora of earnings reports came out, including strong results from companies like
Best Buy(BBY - Get Report),
Home Depot(HD - Get Report) and
TJX(TJX - Get Report) that moved the sector higher.
The S&P 500 Retailing Index was rising 1.4% to 822.71 at last check.
Best Buy surged, hitting levels the stock hadn't seen since December 2010, after reporting quarterly earnings of 32 cents a share on a non-GAAP basis that were well above Wall Street expectations of 12 cents a share. Sales also came in higher at $9.3 billion vs. consensus estimate of $9.13 billion, fueled by online purchases. Investors took this to be a sign that the company's turnaround is well underway.
Shares were up 12% to $34.43 at last check.
TJX(TJX - Get Report) shares also surged 6.9% to $54.24, following better-than-expected earnings and sales and an upbeat profit outlook for the rest of the year.
The Framingham, Mass.-based discount retailer reported quarterly net income of $480 million, or 66 cents a share, up 18% over last year's EPS. TJX's overall net sales rose 8% to $6.44 billion. Comparable store sales last quarter rose 4% over last year, with strong comparable sales of 8% in HomeGoods stores.
One company where a turnaround isn't going as smoothly is
J.C. Penney(JCP - Get Report). The department store chain reported dismal results, yet there were signs of life at the
struggling department store.
The Plano, Texas-based company reported a net loss of $586 million, or $2.66 a share, chock full of extraordinary charges pulling the number down. The adjusted net loss for the quarter was $2.16 a share, but that still included 99 cents related to a tax valuation allowance. Wall Street expected a loss of $1.06 a share.
The company said while comparable store sales slumped 12% year over year, the number improved slightly from the first quarter.
Shares were rising 6.8% to $14.12, with one theory that shorts were covering their bets today. It remains to be seen how long investors will hold on if the company cannot significantly improve results this year.