Dick’s Sporting Goods Inc. issued a disappointing outlook for this fiscal year even as it reported sales and profit that surpassed analysts’ expectations.
Dick’s Sporting Goods
The Coraopolis, Pennsylvania-based retailer said earnings per share could be as low as $13.80 for the upcoming year, short of Wall Street’s estimate of $14.23. It expects comparable store sales, a key retail metric, to be between 1% to 3% in 2025. Analysts surveyed by Bloomberg had projected a 2.57% rise.
The company’s shares fell as much as 6.2% in premarket trading in New York. The stock was down 7.8% this year through Monday’s close.
Chief Executive Officer Lauren Hobart said the company’s guidance acknowledges the “dynamic macroeconomic environment.”
Hobart has been working to invest in Dick’s physical store network and upgrading its e-commerce capabilities. Dick’s posted strong sales for the quarter, citing store expansion and strong growth in its footwear business.
Bloomberg Intelligence analyst Lindsay Dutch said that Dick’s remodels and product assortment have gained traction with consumers despite concerns about discretionary spending.
Many US consumers are under increasing financial pressure from threats of job cuts and higher prices driven by tariffs, leading many to spend conservatively.
Target Corp. and Best Buy Co. warned consumers to expect higher prices due to tariffs imposed by President Donald Trump on Mexico, Canada and China.
