Stocks are trading lower lead by energy-sensitive companies as oil sees more selling. In retail, Nike disappoints investors as Francesca’s steps up with higher sales.
Europe’s markets were all trading in positive territory following yesterday’s terrorist attacks in Belgium. Leading the way is Germany’s DAX, which is up by 1 percent as health care names move higher.
Larger than expected crude stockpiles caused oil to trade near $40 a barrel. The S&P 500 is down by 6 points to 2,043, the Dow Jones Industrial average is lower by 38 points to 17,544 and the Nasdaq is declining by 24 points to 4,796. The S&P Retail ETF is sliding by 43 cents to sell at $45.09.
Nike shares are falling over 4 percent to $62.19 after the sports giant disappointed investors with its revenue miss. The athletic giant’s third-quarter earnings increased 20 percent to $950 million, or 55 cents a diluted share, from $791 million, or 45 cents, a year earlier. This easily beat the FactSet estimate of 48 cents per share. Revenues for the three months ended Feb. 29 gained 8 percent to $8.03 billion from $7.46 billion, but this was light of the FactSet estimate of $8.2 billion.
Francesca’s Holdings Corporation reported increasing sales in the fourth quarter, but gave a first-quarter forecast that was below expectations. Initially, the stock traded in negative territory, but then recovered and is now up over 6 percent to $18.43. Net income for the quarter was $14.7 million, or 35 cents a diluted share, up from $6 million, or 14 cents, a year ago. Adjusted earnings per share totaled 36 cents and were 2 cents above the 34 cents analysts projected.
Evine Live Inc. stock is popping over 7 percent to 82 cents after the home shopping company delivered fourth-quarter earnings of 1 cent, which was inline with FactSet’s estimates. Sales of $211.5 million in the quarter topped the FactSet estimate of $210 million. The company’s outlook for 2016 is for sales of $693 million, which is less than the estimate of $&21 million.
Lululemon Athletica Inc. is trading lower by 29 cents to $60.04 even though analysts at Oppenheimer raised their price target to $70 and favors the brand over Under Armour.
Looking ahead, PVH Corp. and Oxford Industries Inc. will report earnings after the market close today.