Three Teen Retailers to Stop Reporting Monthly Metrics; Others May Follow
Tweet
Share
E-mailGet Alerts ANF Hot Sheet
Price: $109.01 +3.80%
Overall Analyst Rating:
SELL (= Flat)
Dividend Yield: 6.9%
Revenue Growth %: +4.2%
Overall Analyst Rating:
SELL (= Flat)
Dividend Yield: 6.9%
Revenue Growth %: +4.2%
Join SI Premium – FREE
Following tomorrows announcements, three major teen-focused clothing retailers will cease reporting monthly metrics for sales and comparable-store sales.
The retailers, Abercrombie & Fitch (NYSE: ANF), Aeropostale (NYSE: ARO), and American Eagle Outfitters (NYSE: AEO), say that reporting sales for stores opens at least one-year puts too much of the focus on short-term results, according to Bloomberg. Many retailers don't include sales from the Web or on mobile devices.
Some say that the three retailers stopping at the same time will make it easier for others to follow.
One principal from BB&T Wealth Management said that reporting comps is good for growing companies, because it can support the price. For mature companies, the reporting ends up as noise that can hurt shares in the short-run.
With U.S. same-store sales up 2.6% in January, some think that the move won't affect the stocks that much.
Aeropostale shares are down 1% early today, American Eagle is 1.2% lower, and Abercrombie has fallen 0.7% after starting out in the green this morning.
The retailers, Abercrombie & Fitch (NYSE: ANF), Aeropostale (NYSE: ARO), and American Eagle Outfitters (NYSE: AEO), say that reporting sales for stores opens at least one-year puts too much of the focus on short-term results, according to Bloomberg. Many retailers don't include sales from the Web or on mobile devices.
Some say that the three retailers stopping at the same time will make it easier for others to follow.
One principal from BB&T Wealth Management said that reporting comps is good for growing companies, because it can support the price. For mature companies, the reporting ends up as noise that can hurt shares in the short-run.
With U.S. same-store sales up 2.6% in January, some think that the move won't affect the stocks that much.
Aeropostale shares are down 1% early today, American Eagle is 1.2% lower, and Abercrombie has fallen 0.7% after starting out in the green this morning.
Create E-mail Alert Related Categories
Insiders' Blog, Retail SalesRelated Entities
BB&T Capital MarketsSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
