U.S. retail stocks ended the month and an abbreviated week with plus signs as the flow of first-quarter earnings results slowed.
The S&P 500 Retailing Industry Group picked up 0.2 percent on the day to close at 877.55, putting it 1.2 percent for the four-day trading week following Memorial Day and up 2.2 percent in May. The index remains down for the year, with the decline trimmed to 6.6 percent. Of the 103 trading sessions in 2014, the index has advanced 55 times and declined on 48 occasions.
The Dow Jones Industrial Average eked out a 0.1 percent gain to close at 16,717.17 while the S&P 500 was up 0.2 percent, like its retail subset, to 1,923.57.
Retailers which had recently reported first-quarter financial results were among those with the largest swings in stock prices as the week ended. Ann Inc., beating analysts’ consensus estimates despite lower profits, saw its shares appreciate 4.1 percent to $38.87, the second best performance among retail, fashion and beauty issues tracked by WWD.
The biggest leap came from American Apparel Inc., up 5.8 percent to 64 cents. The largest decline came from Pacific Sunwear of California, down 17.7 percent to $2.42, after it reported a smaller net loss than analysts had anticipated but projected a second-quarter loss on same-store sales that are expected to be flat to down 5 percent.
Shares of Express Inc. were off 7.5 percent to $12.61 and Guess Inc. shares contracted 5.1 percent to $25.50. Like PacSun, both reported first-quarter results after the close of the markets on Thursday and provided cautious guidance for the current quarter.
After declining 4.9 percent on Thursday, shares of Michael Kors Holdings Ltd. recovered 2.3 percent, to close at $94.38. The stock had dropped on confusion about guidance for its first quarter, when gross margin is expected to be lower than in the first quarter of the just-concluded fiscal year, when it was 62 percent of sales. In the final quarter of the year, gross margin expanded 20 basis points to 59.9 percent of sales.
In Europe, the FTSE MIB in Milan climbed 0.6 percent to 21,629.71, while the DAX in
Frankfurt was up less than 0.1 percent to 9,943.27. The FTSE 100 in London was down 0.4 percent to 6,844.51, while the CAC 40 in Paris fell 0.2 percent to 4,519.57.
The advance in Milan put the FTSE MIB up 4.3 percent on the week and ahead 14 percent for the year. In descending order of performance in 2014, the Paris exchange was up 0.6 for the week and 5.2 percent for the year; the DAX rose 1.8 percent for a year-to-date gain of 4.1 percent, and the FTSE gained 0.4 percent for the week for a 1.4 percent gain so far in 2014.
The day’s biggest gainers included Safilo Group, 2.2 percent to 17.12 euros; Bonmarche Holding, 1.8 percent to 2.85 pounds, and Gemfields, 1.5 percent to 42 pence.
Among the stocks that lost the most ground were Koovs, down 2 percent to 1.51 pounds; Asos.com, 1.7 percent to 45.07 pounds, and Boohoo.com, 1 percent to 50 pence.
The euro traded at $1.36 against the U.S. dollar, while the pound fetched $1.67 and the Swiss franc equaled $1.11.
@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)
@heriethpaul and @gracebol have a moment on the @victoriassecret fashion show 2017. See every look from the runway on WWD.com. Link in bio. (📷: @giovanni_giannoni_photo) #wwdfashion #victoriassecret #VSFashionShow
“Azzedine has been one of the biggest influences in my life. He has always been such a strong, loving, fatherly figure to me. I call him Papa. His designs are indescribably unique, they are pieces of art. He knew how to make the female form look its loveliest. I have so many memories of him; my favorite might be during my first show with him in Paris. He liked me and he wanted to help me get more work. He called all his friends at Kenzo and Comme des Garcons, and asked them to book me. They said, ‘But she can’t walk!’ And he said, ‘but she has such a great ass!' His friendship and support has been the great privilege of my career. I can't imagine life without him. Repose en paix mon Papa.” - @stephanieseymour tells @wwd. #wwdfashion (📷: @steveeichner) #alaia #azzedinealaia
Azzedine Alaïa, flanked by two of his closest friends, models Stephanie Seymour and Naomi Campbell.
He designed Seymour’s dress for her 1995 wedding to Peter Brant, and treated Campbell (who famously called him Papa), like a daughter. For more on the legendary designer, tap the link in bio. #wwdfashion #alaia #azzedinealaia