Zacks Investment Research cut shares of Foot Locker Inc. (NYSE:FL) from a buy rating to a hold rating in a report released on Tuesday morning.
According to Zacks, “Foot Locker posted positive earnings surprise for the second straight quarter, as it reported third-quarter fiscal 2016 results. Sturdy comparable sales performance, cost containment efforts and strategic initiatives helped the company to continue registering year-over-year growth in both the top and bottom lines. Management reaffirmed its projection of a mid-single-digit increase in comparable sales in fiscal 2016. Further, it continues to expect double-digit growth in earnings per share for the fiscal year. We believe that continuous exploitation of opportunities such as children’s business, shop-in-shop expansion, store banner.com business, store refurbishment and enhancement of assortments, will benefit the company in the long run. However, a competitive retail landscape, fashion obsolescence and foreign currency headwinds remain concerns.”
Several other brokerages have also recently issued reports on FL. JPMorgan Chase & Co. reaffirmed a focus list rating on shares of Foot Locker in a research report on Monday, September 26th. Guggenheim initiated coverage on Foot Locker in a research report on Friday, September 30th. They set a neutral rating on the stock. Susquehanna lifted their target price on Foot Locker from $73.00 to $80.00 and gave the company a positive rating in a research report on Monday, August 22nd. Wedbush initiated coverage on Foot Locker in a research report on Wednesday, November 2nd. They set an outperform rating and a $80.00 target price on the stock. Finally, Deutsche Bank AG reaffirmed a buy rating and set a $75.00 target price (down previously from $76.00) on shares of Foot Locker in a research report on Monday, November 14th. One equities research analyst has rated the stock with a sell rating, six have given a hold rating, fourteen have assigned a buy rating and two have issued a strong buy rating to the company’s stock. The stock currently has a consensus rating of Buy and an average target price of $74.32.
Foot Locker (NYSE:FL) opened at 74.19 on Tuesday. Foot Locker has a 52-week low of $50.90 and a 52-week high of $74.71. The firm’s 50-day moving average price is $68.94 and its 200 day moving average price is $62.26. The company has a market cap of $9.94 billion, a PE ratio of 16.02 and a beta of 0.59.
Foot Locker (NYSE:FL) last announced its quarterly earnings data on Friday, November 18th. The company reported $1.13 EPS for the quarter, beating the Zacks’ consensus estimate of $1.10 by $0.03. Foot Locker had a return on equity of 24.22% and a net margin of 8.26%. The firm earned $1.89 billion during the quarter. During the same period last year, the business posted $1.00 EPS. The company’s revenue was up 5.1% on a year-over-year basis. On average, equities analysts predict that Foot Locker will post $4.76 EPS for the current fiscal year.
The firm also recently announced a quarterly dividend, which will be paid on Friday, January 27th. Investors of record on Friday, January 13th will be given a dividend of $0.275 per share. This represents a $1.10 annualized dividend and a yield of 1.48%. The ex-dividend date is Wednesday, January 11th. Foot Locker’s payout ratio is 23.71%.
In other news, Director Cheryl N. Turpin sold 10,000 shares of the company’s stock in a transaction dated Wednesday, October 12th. The stock was sold at an average price of $69.16, for a total value of $691,600.00. Following the completion of the transaction, the director now directly owns 40,858 shares in the company, valued at approximately $2,825,739.28. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, CEO Lewis Phillip Kimble sold 43,479 shares of the company’s stock in a transaction dated Wednesday, September 7th. The stock was sold at an average price of $65.40, for a total value of $2,843,526.60. Following the completion of the transaction, the chief executive officer now owns 26,131 shares of the company’s stock, valued at $1,708,967.40. The disclosure for this sale can be found here. Corporate insiders own 2.90% of the company’s stock.
Several institutional investors have recently bought and sold shares of FL. Origin Asset Management LLP boosted its position in Foot Locker by 19.0% in the first quarter. Origin Asset Management LLP now owns 449,497 shares of the company’s stock worth $28,993,000 after buying an additional 71,653 shares during the last quarter. Bridgeway Capital Management Inc. boosted its position in Foot Locker by 6.0% in the second quarter. Bridgeway Capital Management Inc. now owns 494,550 shares of the company’s stock worth $27,131,000 after buying an additional 28,000 shares during the last quarter. Capital Fund Management S.A. boosted its position in Foot Locker by 191.7% in the second quarter. Capital Fund Management S.A. now owns 512,644 shares of the company’s stock worth $28,124,000 after buying an additional 336,925 shares during the last quarter. Buckingham Capital Management Inc. boosted its position in Foot Locker by 0.6% in the first quarter. Buckingham Capital Management Inc. now owns 33,130 shares of the company’s stock worth $2,137,000 after buying an additional 196 shares during the last quarter. Finally, Fulton Bank N.A. boosted its position in Foot Locker by 2.1% in the second quarter. Fulton Bank N.A. now owns 10,046 shares of the company’s stock worth $551,000 after buying an additional 207 shares during the last quarter. Hedge funds and other institutional investors own 94.60% of the company’s stock.
About Foot Locker
Foot Locker, Inc is a retailer of shoes and apparel. The Company operates through two segments: Athletic Stores and Direct-to-Customers. The Company’s Athletic Stores segment is an athletic footwear and apparel retailer whose formats include Foot Locker, Lady Foot Locker, Kids Foot Locker, Champs Sports, Footaction, SIX:02, Runners Point Group, including Runners Point and Sidestep.