Retail

December Retail Sales: A Smaller Bag (COST, WTSLA, LTD, TGT, BKE, SMRT, M, GPS)

100267991
Thinkstock
Retailers are announcing December same-store sales figures today and, to tell the truth, expectations are pretty low. Research firm Retail Metrics projects an overall gain of just 1.9% year-over-year, sharply lower than the 3.5% gain in November.

The month of December was a five-week month for most retailers.

Here’s a rundown:

Costco Wholesale Corp. (NASDAQ: COST) reported yesterday that same-store sales for December rose 9% compared with December 2011. Analysts were expecting a rise of 6.5%. Not including gasoline sales or foreign exchange effects, Costco sales rose 8% year-over-year in December.

The Wet Seal Inc. (NASDAQ: WTSLA) reported same-store sales for the four weeks fell 9.7%, well below the 5.4% drop in November. The company said that the decline was due to “lower than expected transactions throughout the month.” That’ll do it.

Limited Brands Inc. (NYSE: LTD) said same-store sales for the five weeks ended December 29 rose 3%, compared with December 2011 and a consensus estimate for a rise of 4.5%.

Target Corp. (NYSE: TGT) posted same-store sales for December 2012 that were “essentially flat” with sales in December 2011. Retail Metrics had expected growth of 3%. The company blamed “softness” in the first three weeks of the month for the disappointing sales.

The Buckle Inc. (NYSE: BKE) reported same-store sales for December rose 1% compared with the same month a year ago. The Retail Metrics estimate called for a gain of 0.3%. Same-store sales year-to-date are up 2.4%.

Stein Mart Inc. (NASDAQ: SMRT) reported December same-store sales up 5.9% year-over-year, and total sales up 6.4%. The company’s interim CEO said that it has been “more than seven years since we have experienced [same-store sales] increases like this,” referring to the chain’s sixth consecutive month of sales growth. Retail Metrics estimated a same-store sales increase of 2.7% for Stein Mart.

Macy’s Inc. (NYSE: M) reported December same-store sales jumped by 4.1%, compared with a Retail Metrics estimate calling for an increase of 4.8%. The company’s CEO said that lingering effects of Hurricane Sandy and “uncertain economic news” posed “significant headwinds” in the month.

Gap Inc. (NYSE: GPS) reported that same-store sales rose 5% for the five weeks ended December 29. The Retail Metrics estimate called for a gain of 3.5%. Year to date, Gap’s sales are up 4% over 2011. Gap announced last night that it was acquiring women’s fashion boutique Intermix Inc. for $130 million, giving the company an entry into the luxury retail market.

Gap’s shares are up 5.2% at $33.00 in premarket trading this morning, in a 52-week range of $17.75 to $37.85.

Wet Seal’s shares are inactive in the premarket today, having closed last night at $2.79 in a 52-week range of $2.42 to $3.73.

Target’s shares are up 2.4% this morning, at $60.22 in a 52-week range of $47.25 to $65.80.

Limited’s shares are down 4%, at $45.50 in a 52-week range of $38.45 to $52.50.

Costco shares are flat in premarket trading, at $101.45 in a 52-week range of $78.81 to $105.97.

Macy’s shares are down 0.8% this morning at $38.00, in a 52-week range of $32.288 to $42.17.

Stein Mart’s shares are inactive, having closed at $7.64 last night, in a 52-week range of $6.02 to $9.34.

Paul Ausick

Want to Retire Early? Start Here (Sponsor)

Want retirement to come a few years earlier than you’d planned? Or are you ready to retire now, but want an extra set of eyes on your finances?

Now you can speak with up to 3 financial experts in your area for FREE. By simply clicking here you can begin to match with financial professionals who can help you build your plan to retire early. And the best part? The first conversation with them is free.

Click here to match with up to 3 financial pros who would be excited to help you make financial decisions.

 

Have questions about retirement or personal finance? Email us at [email protected]!

By emailing your questions to 24/7 Wall St., you agree to have them published anonymously on a673b.bigscoots-temp.com.

By submitting your story, you understand and agree that we may use your story, or versions of it, in all media and platforms, including via third parties.

Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.