Stage Stores Inc.
) - an operator of department stores and off-price stores in the
small and mid-sized towns and communities of the United States -
recently reported strong comparable store sales (comps) and total
sales for the month of October, on the back of attractive
During the period ended October 27, 2012, Stage Stores
reported total sales of $113.0 million, representing an increase
of 9.8% from $102.0 million in the comparable period last year.
Comps increased 6.5% compared with 0.8% in the prior-year
For Stage Stores, comps improved considerably across all the
categories and geographical regions in the month under review.
The categories that performed above-average in the month were
cosmetics, home & gifts, junior sportswear and men's and
misses sportswear. Geographically, the Northeast, South Central,
the Midwest, and the Southwest regions, registered a rise in
Management believes that October proved to be an excellent
month for the company and the momentum is expected to continue
further in the fourth quarter. The company is confident for the
upcoming holiday season based on its varied range of merchandise
collections, attractive promotional and store events.
Year-to-date, Stage Stores' total sales increased 8.2% to
$1,118.0 million from $1,033.0 million in the prior-year period,
whereas comps climbed 5.3% for the same period.
Recently, Stage Stores' peer
Ross Stores Inc.
) also reported net sales and comps for the month of October. The
company's net sales increased 8.0% to $715.0 million for the
month, whereas comparable store sales escalated 4%.
Stage Stores continued to expand its store count in the month
of October by opening 9 new stores. The company inaugurated 3 new
Goody's stores at Marianna in Florida, Pell City in Alabama and
Morganfield in Kentucky, respectively. Also, it added 2 Peebles
stores at Taneytown in Maryland and Brockport in New York, 1
Bealls stores at Mountain Home in Idaho and 3 Steele's stores at
Houma in Louisiana and Uvalde and Mount Pleasant in Texas.
The company's net sales for the third-quarter of 2012 came in
at $371.0 million, exceeding the Zacks Consensus Estimate of
$363.0 million and increasing 11.1% year over year. Comparable
store sales went up 8.1%, compared with a decline of 0.6% in the
last-year quarter. The company is expected to release its
third-quarter 2012 financial results on Thursday, November 15,
2012, before market opens.
Stage Stores ended the month of October with 851 retail
outlets across 40 states. Based on stellar third-quarter 2012
sales results and solid comps performance, the company carries a
Zacks #1 Rank, which implies a short-term Strong Buy rating for
the next 1-3 months. Moreover, this correlates with our long-term
'Outperform' recommendation on the stock.
ROSS STORES (ROST): Free Stock Analysis
STAGE STORES (SSI): Free Stock Analysis
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