This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
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
TheStreet Open House

Dick's, Cabela's Miss the Mark on Hunting Slump: StockTwits

NEW YORK (TheStreet) -- Ted Nugent may weep over this one. Shares of Dick's Sporting Goods  (DKS - Get Report) got killed and grilled Tuesday after the company reported earnings that missed consensus estimates and prior guidance. Management also lowered earnings guidance.

The stock fell more than 16% by 11 a.m. to $44.58, and many on StockTwits.com said it could go lower.

$DKS Frankly I think fair value is at 41 ? tickertutor (@tickertutor) May. 20 at 09:37 AM

Poor golf and hunting gear sales dragged down growth, according to Dick's executives. Same-store sales grew a relatively anemic 1.5%, compared to management's prior forecast of between 3% and 4% growth.

"Our difficulties this quarter were isolated to two categories: gold and hunting," said Dick's CEO Edward W. Stack in a statement. "After a very challenging first quarter in golf last year, we expected some further headwinds and only modest improvement, but instead we saw a continued significant decline. In the case of hunting, we planned the business down based on last year's catalysts, but it was even weaker than expected."

Dick's reported earnings of 50 cents per share, compared to the 52 cents per share Wall Street analysts had expected. Revenue came in at $1.4 billion, vs. the consensus call for $1.46 billion. Management guided to second quarter EPS of between 62 cents and 67 cents. Dick's anticipates same store sales to increase between 1% and 3%. For the full year, management lowered EPS guidance to between $2.70 and $2.85, vs. the $3.03 to $3.08 initially expected.

The results prompted analysts to downgrade the stock.

Dicks Sporting Goods downgraded by Sterne Agee to neutral. http://stks.co/i0dIy $DKS ? Analyst Ratings Network (@AnalystRatingsNetwork) May. 20 at 10:51 AM

Some investors said that the sporting goods company looked like a buy on the drop. They attributed at least a portion of the weak golf and hunting sales to snowy winter weather that kept outdoorsmen inside.

Sucks that people only golf in areas where it snows. $DKS ? LMF (@mytfine) May. 20 at 08:10 AM

And check out the technical chart on page 2.

1 of 2

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
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

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
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG
CAB $56.78 0.00%
DKS $57.03 0.00%
AAPL $123.25 0.00%
FB $83.30 0.00%
GOOG $548.34 0.00%

Markets

DOW 17,712.66 +34.43 0.19%
S&P 500 2,061.02 +4.87 0.24%
NASDAQ 4,891.2190 +27.8570 0.57%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs