Updated from 8:19 AM EDT.
NEW YORK (TheStreet) -- Shares of Kate Spade (KATE) were sliding 8.27% to $14.98 on heavy trading volume early Wednesday afternoon after the company reported disappointing comparable-store sales for the 2016 third quarter.
Before the opening bell, the New York-based handbag maker said direct-to-consumer comparable-store sales rose 6.7% during the quarter.
Analysts were looking for an increase of 7.4%, according to research firm Consensus Metrix. The FactSet consensus estimate was for growth of 6.9%.
Excluding e-commerce, comparable-store sales were flat.
Kate Spade reported third-quarter adjusted earnings of 13 cents per diluted share on revenue of $316.5 million, which beat expectations. Analysts surveyed by FactSet were forecasting earnings of 8 cents per share on revenue of $310.9 million.
"In the third quarter, several macroeconomic factors, including a challenging retail environment and continuing tourist headwinds, impacted our results," CEO Craig Leavitt said in a statement.
For 2016, Kate Spade reaffirmed its outlook for earnings per diluted share between 63 cents and 70 cents on revenue of $1.37 billion to $1.40 billion. Wall Street is expecting full-year earnings of 65 cents per share on revenue of $1.38 billion, according to FactSet.
The stock was up in pre-market trading today.
More than 4.01 million of the company's shares changed hands so far today compared to its average 30-day volume of 2.08 million shares.
Separately, TheStreet Ratings Team has a "Hold" rating with a score of C on the stock.
The primary factors that have impacted the rating are mixed. The company's strengths can be seen in multiple areas, such as its revenue growth, compelling growth in net income and good cash flow from operations.