UBS Reiterates a 'Buy' on Foot Locker (FL); Raising PT and Estimates on Strong Q1 Results

May 21, 2012 11:08 AM EDT
Get Alerts FL Hot Sheet
Price: $68.98 +0.28%

Rating Summary:
    19 Buy, 11 Hold, 1 Sell

Rating Trend: = Flat

Today's Overall Ratings:
    Up: 18 | Down: 19 | New: 11
Trade FL Now!
Join SI Premium – FREE
UBS reiterates a 'Buy' on Foot Locker (NYSE: FL) price target raised $1 to $36.

Analyst, Michael Binetti, said, "FL's Q1 results exceeded our expectations—with ongoing strong trends in most businesses as well as signs of improvements in businesses that were concerns (e.g., Europe, Women’s, CCS). EPS upside in the qtr was driven by 1) global SSS of +9.7% (UBS estimate: 8%, Street: 6.5%); 2) +130bp GM improvement (+100bp occupancy, +30bp merch), and 3) +110bp SG&A leverage (UBSe: +100bp). We are raising our 2QE EPS to $0.33 from $0.31 and FY12E to $2.42 from $2.33."

Binetti also noted that May same-store sales trends are continuing in the positive and Binetti is excited that Lady Footlocker has finally swung into positive sales territory, after a long streak of lagging performance.

For an analyst ratings summary and ratings history on Foot Locker click here. For more ratings news on Foot Locker click here.

Shares of Foot Locker closed at $30.33 yesterday.

Serious News for Serious Traders! Try Premium Free!

You May Also Be Interested In

Related Categories

Analyst Comments, Analyst EPS Change, Analyst EPS View, Analyst PT Change

Related Entities


Add Your Comment