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Jump Analysis: 
February Retail Sales Miss Estimates
Author: 123jump.com Staff
123jump.com
Last Update: 4:35 AM EST March 09 2007


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Most of the retail companies released same-store sales below Wall Street estimates, as unseasonably cold weather in February dampened lightweight apparel sales. Retailers posting disappointing results included Wal-Mart Stores Inc.,Costco Wholesale Corp. and numerous apparel stores like Abercrombie&Fitch Co. However, luxury apparel retailer Nordstrom Inc. posted stronger-than-expected same-store sales.

 
Almost two-thirds of the 52 retailers reported lower-than-expected sales. Wal-Mart Stores Inc. (WMT: chart) said Thursday its February same-store sales rose 0.9%, missing estimates of an increase by 1.5%. Total company sales for the four weeks ended March 2 rose 8.1% to $26.79 billion. The retailer projected March same-store sales are to rise between 1% and 2%. Among other discounters, warehouse retailer Costco Wholesale (COST: chart) reported 4% in its February same-store sales, missing the average analyst estimate of 5.1% growth. In contrast, Target Corp. (TGT: chart) posted healthy sales growth of 5.7%.

Limited Brands Inc. (LTD: chart) said Thursday its February same-store sales rose 3%, coming shy of analyst estimates of same-store sales increase by 4%. Net sales for the four weeks ended March 3 rose to $730.5 million from $635.8 million. Federated Department Stores (FD: chart) said same-store sales for February rose 1.2%, below its previous forecast of a 2% to 3% rise.

Bebe Stores (BEBE: chart) posted a 2.2% decline in same-store sales, its first monthly decline in 46 months, down from expectations of a 2.2% gain. Pacific Sunwear of California (PSUN: chart) announced a 5.7% decline in its February sales at stores open at least one year, missing the average analyst expectations of same-store sales drop of 3.7%.Total sales for the four weeks ended March 3 rose 1.2% to $88.7 million. Pier 1 Imports (PIR: chart) said its February same-store sales slipped 8.4%. Analysts had expected comparable-store sales to drop 4.4%. Total sales reached $120.5 million, an increase of 14.3%.

Sharper Image Corp. (SHRP: chart) said Thursday its February same-store sales plunged 24%, coming in below forecast of a 16.7% decline. Total sales for the month ended Feb. 28 fell 29% to $22.1 million. The Gap (GPS: chart) said same-store sales fell 4% in February, beating estimates of a drop of 4.8% for the month. Total sales for the four weeks ended March 3 slumped 5% to $910 million from $865 million in the same period a year earlier.

Meanwhile, high-end stores continued to shine. Luxury retailer Nordstrom (JWN: chart) reported a 9.1% jump in same-store sales in February, beating the 5.7% estimate. Saks (SKS: chart) posted remarkably higher increase- 24.7% increase compared with estimates of 6.4% gain. Kohl’s Corp. (KSS: chart) handily beat the 2.9% gain estimate with an increase of 4.4%. McDonald’s (MCD: chart) posted February same-store sales increase of 5.7%.


2007 SAME-STORE SALES
CompanyTicker JanuaryFebruaryMarchAprilMayJuneJuly
Apparel Retailers
Abercrombie & Fitch ANF-6.00% -6.00%
AeropostaleARO 5.40% 2.30%
AmericanEagle AEOS 17.00% NA
AnnTaylor ANN-10.20% -2.90%
Bebe BEBE0.80% -2.20%
Buckle BKE 7.80% 4.50%
Cato CTR -7.00%0.00%
CharmingShoppes CHRS NA NA
Chico's CHS -3.50% -4.30 %
Children'sPlace, The PLCE 3.00% 5.00%
Christopher & Banks CBK -4.00% -13.00%
CitiTrends CTRN3.20% NA
Claires CLE 3.00% 1.00%
DebShops DEBS -3.80%-2.00%
DillardsDDS-3.00% -9.00%
DressBarnDBRN 8.00% 0.00%
Federated Dept. FD 8.60% 1.20%
Gap GPS0.00% -4.00%
Gottschalks GOT-1.00% -3.60%
GuessGES NA NA
Gymboree GYMB0.00%1.00%
Hot Topic HOTT-6.60% -2.70%
J.C.PenneyJCP 3.60% -0.20%
Jo-AnnStores JAS-6.30% NA
Jos.A.Bank JOSB-4.70% 2.80%
Kohl's KSS 8.70% 4.40%
LimitedBrandsLTD 11.00% 3.00%
Men'sWearhouse MW NA NA
MotherWorksMWRK-6.00% -4.70%
NordstromJWN11.00%9.10%
Pacific Sunwear PSUN -7.70%-5.70%
Ross Stores ROST2.00% 1.00%
Saks SKS11.40% 25.00%
SteinMart SMRT -1.90% -1.90%
Talbots TLB NA NA
TJX TJX4.00% 2.00%
Drug Stores
CVS CVS8.60% 7.00%
Walgreen WAG 10.80% 8.60%
Wholesale Stores
BJ's Wholesale Club BJ 3.50% 3.00%
CostcoCOST 2.00%4.00%
Family Dollar FDO 0.10% -0.50%
Shoe Stores
DSW DSW NA NA
Payless Shoesource PSSNA NA
FinishLine FINL NA NA
Discount Retailers
Target TGT 5.10% 5.70%
Wal-Mart Stores WMT 2.20% 0.90%
Pier1 ImportsPIR -13.20%-8.40%
Sharper Image SHRP -25.00% -24.00%
Miscellaneous
BigLots BIGNA NA
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