Dick’s Sporting Goods stock falls 15% as retailer misses expectations, cites ‘challenging’ footwear market
The retailer said Foot Locker’s 3.6% comparable sales decline and a more promotional market will pressure margins through year-end.
- On Tuesday, Dick's Sporting Goods cut full-year net sales guidance to $21.9 billion–$22.2 billion and earnings per share to $10.94–$11.94, sending shares down 13% in premarket trading after quarterly revenue missed Wall Street expectations.
- Executive Chairman Ed Stack attributed the results to operational headwinds, stating that product launches 'performed below both industry and our expectations,' while cautious consumer spending weighed on demand.
- Dick's stores posted 4.9% comparable-sales growth driven by World Cup results, though revenue of $5.59 billion missed the $5.65 billion expected, while Foot Locker comparable sales declined 3.6%.
- CEO Lauren Hobart said the company remains 'highly confident in the strength of the DICK'S Business,' though management revised Foot Locker's outlook to flat or down 2% as it refines the subsidiary's strategy.
- Dick's acquired Foot Locker for $2.4 billion in 2025 to expand international presence, but the subsidiary's performance continues to weigh on the company's bottom line as integration efforts proceed.
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Dick's Sporting Goods Just Had Its Worst Day Ever
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"Going Through Some Pain": Dick's Smashed Most On Record As Foot Locker Bet Goes Limp
"Going Through Some Pain": Dick's Smashed Most On Record As Foot Locker Bet Goes Limp Dick's Sporting Goods shares crashed by the most on record Tuesday after the sporting goods retailer slashed its annual sales and adjusted operating-income forecasts, as softness at recently acquired Foot Locker deepened concerns about the $2.4 billion takeover. "We're going to go through some pain," Chairman Ed Stack told analysts on an earnings call. Dick's n…
Dick's Sporting Goods' share price plummeted by around 25 percent in early trading following the release of its quarterly results. Markus Koch says this reflects a continuing industry trend at the Foot Locker parent company.
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