Shares of Express Inc. rose more than 20 percent in the aftermath of Sycamore Partners’ disclosure Thursday that it had acquired a 9.9 percent stake in the retailer and is interested in buying the company outright.
The stock was up 21.4 percent to $16.45 as trading ended for the week, the greatest advance by far of any of the U.S.-based fashion, retail and beauty stocks monitored by WWD.
The S&P 500 Retailing Industry Group, however, closed out the week with its fifth consecutive decline, pulling back 0.2 percent to 875.21, 2.3 percent below its closing mark last Friday and off 6.9 percent for the year.
The Dow Jones Industrial Average and S&P 500 advanced 0.3 percent each, to 16,775.74 and 1,936.16, respectively. Their declines for the week — 0.9 and 0.7 percent — were the sharpest in two months. Still, the Dow is up 1.2 percent for the year and the S&P is ahead 4.8 percent.
Sycamore’s play for Express allowed most teen and youth retailers to register gains for the day and helped those with gains in the WWD sample outnumber those with declines by about a two-to-one margin.
Shares of Aéropostale Inc, were up 2.4 percent to $3.42 while American Eagle Outfitters Inc. moved ahead 2.3 percent to $11.31 and Abercrombie & Fitch Co. advanced 1.6 percent to $41.71.
Outside the teen sphere, Lands’ End Inc. shares continued the upward movement which accompanied the firm’s strong report on first-quarter earnings Thursday, closing at $30.50, ahead 5.9 percent.
Lululemon Athletica Inc., shares of which declined 15.9 percent Thursday following lower first-quarter profits and reduced second-quarter guidance, made back some ground and gained 1 percent to $37.61.
Among those in decline, Inter Parfums Inc. was off 1.5 percent to $27.75 and Destination XL Group Inc. fell the same percentage to $5.08.
Europe’s major indices were largely down at the end of the week’s trading.
The FTSE 100 in London led the decliners, down 1 percent to 6,777.85, followed by the DAX in Frankfurt, which fell 0.3 percent to 9,912.87, while the CAC 40 in Paris was down 0.2 percent to 4,543.28. The FTSE MIB in Milan edged up 0.01 percent to 22,165.97.
All four indices were down for the week — ranging from London’s 1.2 percent dip to Milan’s 0.6 percent contraction. For the year, all have advanced, led by Milan’s 16.9 percent improvement and Paris’s 5.8 percent rise.
Fashion, luxury and retail stocks put on a mostly lackluster performance, registering some significant declines. Bank of England governor Mark Carney’s speech at London’s Mansion House Thursday led to investor caution when he suggested a rise in interest rates “could happen sooner than markets currently expect.” The U.K. Web site This is Money suggested investors were concerned a rise in interest rates could lead the pound higher, creating difficulties for U.K. retailers that operate outside the country.
Among those that fell the most were Asos, down 5.8 percent to 28.99 pounds; French Connection, which lost 4.6 percent to 67 pence; Ted Baker, which fell 2.8 percent to 18.70 pounds, and Next, down 2.7 percent to 62.50 pounds.
The few stocks in the fashion sector that rose included Gemfields, up 1 percent to 51 pence; Prada, up 0.3 percent to 54.65 Hong Kong dollars, and Unilever, which rose 0.3 percent to 32.26 euros.
The pound traded for $1.68 against the U.S. dollar, while the euro changed hands for $1.35 and the Hong Kong dollar for 13 cents.
@chanel and @pharrell dropped what’s being dubbed as the world’s most exclusive sneakers yesterday. The Adidas Originals NMD Hu, which Williams designed in collaboration with Chanel and @adidasoriginals, has a waiting list of over 120K people who pre-registered online at chanelatcolette.fr –– and only 500 pairs are on sale. The singer predicted the resale value of the shoes could reach $40K. Read the full interview on WWD.com. Link in bio. #wwdfashion (📷: Dominique Maître)
@imanshumpert is diving deeper into his creative endeavors and relaunching his clothing line, Post 90s, and is helping to raise money for the hurricane victims in St. Maarten with a jersey he’s designed with his brother. The Cleveland Cavaliers player talked to WWD about kneeling during the national anthem, working with fashion brands and how he wants to be more than an @nba player. Read the interview on WWD.com #wwdfashion (📷: George Chinese)
Not only does #TheProfit return to CNBC tonight, but @marcuslemonis has launched @shopmarcus, a new shopping and lifestyle retail experience in Aspen and Chicago, with more locations to come. The retail stores offer in-store stylists and a variety of contemporary womenswear selections.
“It’s life, I’m going to face it,” @mingxi11 sighed. “I fell, but you know, I think the most important thing is that I get back up. I had the love, the help from my sister — the girl next to me Gizele [Oliveira] — she’s so nice. When I went backstage everybody was trying to comfort me like ‘Oh Ming, it’s OK.’ I’m really, really touched. I think it’s them who gave me the courage to go back on stage for the finale,” Xi told WWD of her fall at the @victoriassecret fashion show. (📷: David Fisher) #wwdfashion #vsfashionshow #victoriassecret
@louisvuitton tapped @therealpeterlindbergh for its latest city-centric photo book, which is part of a series called Fashion Eye. The primarily black and white book captures the spirit of Berlin in 57 images shot between 1989 and 2019. “Berlin is an inspiration for me, more than a city. I mean @millajovovich is simply Berlin!” said Lindbergh. #wwdfashion
“You know, I think audiences expect a certain performance so I have to deliver to them what they’re expecting to a certain degree. But I’m also a different actor and a different person, I have my own spin on the character,” says @noahegalvin of his takeover of the leading role in “Dear Evan Hansen” following the departure of @bensplatt, who originated the role. Read WWD’s interview with the 23-year-old actor on WWD.com #wwdeye (📷: @jilliansollazzo)
For pre-fall 2018, @etro created richly-colored wonderland, using tapestries, textiles and wallpapers from the Eastern world at large. The line featured floral and graphic prints and jacquard motifs, like this two-piece look featured here. #wwdfashion (📷: Giovanna Pavesi)
@kith is moving into children’s. The men’s and women’s streetwear brand has launched Kidset, a Kith kids line located in New York at 64 Bleecker Street. The line includes mini versions of staple Kith pieces like the Astor bomber jacket and the Kith box logo sweatshirts, along with a wall that can display up to 120 pairs of shoes from @adidas, @newbalance, @timberland and more. #wwdfashion
“I just wanted to create this fully rounded character, but I do think what excited me most was just the opportunity to give a group of people representation that I feel needs it. I like to do characters in projects that stand for something and Karolina definitely does, so that was really exciting to me,” @ginnygardner says of her new role in @hulu’s “The Runaways.” Gardner plays Karolina Dean, a queer superhero, which is a rarity for @marvel. Read more about Gardner’s character on WWD.com #wwdeye (📷: @dandoperalski)