NEW YORK (TheStreet) -- Dick's Sporting Goods (DKS - Get Report) stock is plunging on Tuesday after the retailer reported first-quarter earnings and revenue below analysts' estimates. By midmorning, shares had tanked 16% to $44.64.
Over the three months to April, the company earned 50 cents a share, 2 cents less than analysts surveyed by Thomson Reuters expected. Revenue of $1.44 billion fell short of expectations of $1.46 billion.
Additionally, over fiscal 2014 the company expects net income of $2.70 to $2.85 a share, well below previous guidance of at least $3.03 a share and analysts' expectations for as much as $3.08 a share.
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TheStreet Ratings team rates DICKS SPORTING GOODS INC as a Buy with a ratings score of B+. TheStreet Ratings Team has this to say about their recommendation:
"We rate DICKS SPORTING GOODS INC (DKS) a BUY. This is driven by some important positives, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, growth in earnings per share, attractive valuation levels, good cash flow from operations and increase in net income. We feel these strengths outweigh the fact that the company shows low profit margins."
- You can view the full analysis from the report here: DKS Ratings Report