Retail
J.C. Penney Stock Tumbles after Weak November Sales Reports from Other Retailers
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Here’s how some other stores fared in November.
Costco Wholesale Corp. (NASDAQ: COST) reported November same-store sales rose 2% including fuel and currency exchange effects. Excluding those effects, same-store sales rose 4%. Costco had been tabbed to post same-store sales growth of 3.5% (including fuel and currency effects) in the month by research firm Retail Metrics. Total sales rose 5% in November.
Apparel retailer L Brands Inc. (NYSE: LB) reported a November same-store sales decline of 5% compared with Retail Metrics’ estimate for a decline of 1.2%. The negative comparison is the first for L Brands, which operates the Victoria’s Secret and Bath & Body Works chains, since October 2009.
Walgreen Co. (NYSE: WAG) reported same-store sales yesterday, posting a gain of 3.2% over November 2012 sales. Retail Metrics was expecting a gain of 3.7%. The company’s pharmacy sales rose 4%, again lower than the estimate of 4.2%, and front-end sales were up 1.9% compared with an estimate of 2.3%.
Another apparel retailer, Stein Mart Inc. (NASDAQ: SMRT) reported November same-store sales growth of 3.1% compared with an estimate of 3.2%. Same-store sales rose 7.1% in November 2012, so the store had the toughest comparison to beat of any of the stores in this survey.
Shares in all these retailers are trading down today. Penney is off the most, down more than 8% at $8.88 in a 52-week range of $6.24 to $23.10.
Costco’s stock is down about 1.5% at $121.11 in a 52-week range of $96.51 to $126.12.
L Brands’ shares are down about 1.2% at $62.50 in a 52-week range of $42.49 to $67.12.
Walgreen’s shares are down 1.3% at $56.79 in a 52-week range of $35.58 to $60.93.
Stein Mart stock is down 2% at $13.99 in a 52-week range of $6.84 to $16.17.
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