DKS stock is down on Tuesday despite the company reporting an earnings beat for the fourth quarter of 2018.
Dick’s Sporting Goods (NYSE:DKS) reported earnings per share of $1.22 for the fourth quarter of the year. This matches the company’s earnings per share from the same period of the year prior. It also comes in above Wall Street’s earnings per share estimate of $1.06 for the quarter, but wasn’t able to keep DKS stock from falling today.
Net income reported in the Dick’s Sporting Goods earnings release for the fourth quarter of 2018 comes in at $102.56 million. This is a drop from the company’s net income of $115.95 million reported in the fourth quarter of the previous year.
The most recent Dick’s Sporting Goods earnings report also includes operating income of $142.01 million. The company’s operating income from the same time last year was $178.32 million.
Dick’s Sporting Goods earnings for the fourth quarter of the year also has revenue coming in at $2.49 billion. This is a decrease from the company’s revenue of $2.66 billion reported in the fourth quarter of 2017. However, it was still above analysts’ revenue estimate of $2.48 billion for the period, but was unable to stop DKS stock from falling today.
The Dick’s Sporting Goods shows how the company is handling declining sales of firearms at its stores. This is is happening following its decision to no longer sell AR-15, or similar sporting rifles, in early 2018. The decline in sales of firearms and hunting supplies even has the chain pulling those goods from some stores.
DKS stock was down 11% as of Tuesday morning.
As of this writing, William White did not hold a position in any of the aforementioned securities.