Select Footwear Stocks Weighted by Foot Locker (FL)

Foot Locker (NYSE: FL) shares extended a post-earnings decline to a nearly 30% loss on the day, as fourth-quarter results and disappointing forecasts pushed the stock to its lowest level since November. The pressure has also taken its toll on other names in the sector shares of Hibbett, Inc (MISTAKE) down 7%, Weyco Group (WEYS) down more than 6% and Nike (FROM) closing Wednesday with a loss of 0.7%.
During the company’s earnings presentation, CFO Mike Baughn echoed the extended timeline for the company to reach its 8.5%-9% EBIT margin target and reiterated that the first quarter could continue to be a challenging for society.
“While our inventory has been restored to healthy levels, it will take time to shift consumer expectations away from those higher promotional levels. We therefore expect to see ongoing merchandising margin pressure during the first quarter, but improving throughout the year,” Baughn told analysts.
Foot Locker (FL) closed Wednesday down 29.35% on very high volume.

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