Retail Same-Store Sales Mostly Strong in May

A later Mother's Day boosted spending at clothing retail chains

   

Shoppers flocked to stores in May, sending same-store sales past expectations for the month for many retailers.

A group of retailers selected by Thomson Reuters was expected to show an average of 3.6% same-store sales gains for the month, down from a 5.8% sales increase during May of last year. Analysts attributed strong results from clothing chains to Mother’s Day which fell later in the month this year, compared to 2011.

kohls store inside 630 200x200 Retail Same Store Sales Mostly Strong in May
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Target (NYSE:TGT) said its sales for the month grew 4.4%, beating analysts who predicted 3.5%, the Wall Street Journal noted.

Same-store sales increased 4.2% at Macy‘s (NYSE:M), which also exceeded analysts’ forecast of a 4% improvement.

The owner of Victoria’s Secret and Bath & Body Works stores, Limited Brands (NYSE:LTD), announced that it saw a 6% same-store sales jump for the month, easily topping analysts who estimated 4.7%.

High-end retailer Nordstrom (NYSE:JWN) also beat expectations, posting a 5.3% rise in same-store sales, surpassing the 4.7% predicted by analysts.

Saks (NYSE:SKS) also trumped analsyts’ estimates, announcing same-store sales gain of 4% for the month, compared to 2.5% estimates.

Not every retailer posted good results, however. Gap (NYSE:GPS) fell short of expectations, announcing a 2% increase in same-store sales, while analysts had forecast a 3.1% gain. Kohl‘s (NYSE:KSS) announced a 4.2% decline in same-store sales, missing the already negative prediction of analysts, who expected a 1.2% decline. It’s shares fell more than 5% in Thursday trading.

Costco (NASDAQ:COST) also disappointed analysts, posting same-store sales up 4% for the month, against analyst’s estimate of 4.3%


Article printed from InvestorPlace Media, http://investorplace.com/2012/05/retail-same-store-sales-mostly-strong-in-may/.

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