Shares of Consumer Discretionary Firms Posting Gains; Gap Slumps Following Weak September Comparables
Consumer stocks are mixed, with shares of consumer staples companies in the S&P 500 down less than 0.1% while shares of consumer discretionary firms in the S&P 500 are up 0.7%.
In company news, Gap Inc. ( GPS ) shares are tumbling Friday, holding near their intra-day lows at $36.55 each after the apparel retailer late Thursday reported little change in its September net sales compared to year-ago levels while same-store sales fell.
Net sales for the five-week period ended Oct. 5 totaled $1.46 billion, up just $10 million from the five-week period ended Sept. 29, 2012. Comparable-store sales declined 3% company-wide during September, including a 3% slide at its namesake Gap stores as well as a 5% drop at Banana Republic and a 2% dip for Old Navy stores.
In other sector news,
(+) SWY, (+7.0%) Q3 adjusted EPS of $0.30 beats by $0.14 while sales rise 1.1% to $8.6 bln, topping Street expectations by $100 mln. Cuts FY13 adjusted EPS outlook to $1.05 to $1.12, which excludes $0.12 for upcoming exit from Chicago market but still topping estimates.
(+) LZB, (+1.4%) Announces plans to acquire two La-Z-Boy Furniture Galleries stores in the Youngstown, Ohio, with combined revenue of around $6.5 million.