Today’s Research Reports on Stocks to Watch: Foot Locker and Deckers Outdoor

NEW YORK, NY / ACCESSWIRE / May 29, 2018 / Shares of both Foot Locker and Decker Outdoor jumped in trading on Friday. Foot Locker reported first quarter earnings that exceeded analyst’s expectations. Decker Outdoors shares reported fourth quarter earnings that exceeded expectations on both top and bottom line.

RDI Initiates Coverage on:

Foot Locker, Inc.
https://www.rdinvesting.com/report/?ticker=FL

Deckers Outdoor Corporation
https://www.rdinvesting.com/report/?ticker=DECK

Shares of Foot Locker climbed 20.16 percent to close at 55.74 after the apparel footwear company released a stronger than expected first quarter earnings. The company’s revenue was up by 1.2 percent to $2.03 billion, higher than the FactSet consensus of $1.96 billion. Comparable sales drop of 2.8% was better than the 3.6% drop expected by the street. The company’s reported net income of $165 million, a decline from $180 million reported last year. “The flow of premium product continues to improve, with increasing breadth and depth in the most sought after styles from our key vendors,” said Richard Johnson, Chairman and Chief Executive Officer. “This led to first quarter results which were above our expectations. With the strength of our strategic vendor partnerships and our central position in youth culture, we continue to believe that we are poised to inflect to positive comparable-store sales growth as we progress through the year,” he added.

Access RDI’s Foot Locker, Inc. Research Report at:
https://www.rdinvesting.com/report/?ticker=FL

Decker Outdoors stocks increased 3.54 percent to close at 107.34, following the company’s earnings report. Decker’s net sales hiked 8.4 percent to $400.7 million compared to $369.5 in same quarter last year, also beating analyst expectation by $25.3 million. The company reported fourth quarter net income of $29.7 million or 66 cents on a per share basis exceeding analysts’ expectations by 31 cents per share. This was better than the loss of $12 million or 49 cents on a per share basis reported last year. Gross margins improved to 48% in this quarter compared to 43% in the same quarter last year. Decline in SG&A expense from $189.8 million last year to $174.1 million this year also boosted the net income. According to Dave Powers, President and Chief Executive Officer, “The entire Deckers team stepped up to the plate and performed exceptionally well despite the numerous challenges the organization faced over the last twelve months. For the full year, we achieved record revenue of $1.9 billion, drove a 320 basis point improvement in non-GAAP operating margin to 12.4% and increased non-GAAP diluted earnings per share by 50% to a record $5.74. I am confident that the Company is well positioned to build on its recent financial accomplishments and enhance its industry competitiveness through the continued execution of our operating profit improvement plan and strategic focus.”

Access RDI’s Deckers Outdoor Corporation Research Report at:
https://www.rdinvesting.com/report/?ticker=DECK

Our Actionable Research on Foot Locker, Inc. (NYSE: FL) and Deckers Outdoor Corporation (NYSE: DECK) can be downloaded free of charge at Research Driven Investing.

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