Foot Locker (NYSE:FL) Shares Gap Down on Analyst Downgrade

Shares of Foot Locker, Inc. (NYSE:FL) gapped down prior to trading on Friday after JPMorgan Chase & Co. lowered their price target on the stock from $23.00 to $20.00. The stock had previously closed at $21.18, but opened at $20.70. JPMorgan Chase & Co. currently has an underweight rating on the stock. Foot Locker shares last traded at $21.03, with a volume of 169,975 shares changing hands.

Several other brokerages have also weighed in on FL. Williams Trading raised Foot Locker from a “sell” rating to a “hold” rating and lifted their price objective for the stock from $17.00 to $21.00 in a report on Wednesday, November 27th. The Goldman Sachs Group decreased their price objective on Foot Locker from $25.00 to $22.00 and set a “sell” rating on the stock in a report on Thursday, December 5th. UBS Group decreased their price objective on Foot Locker from $26.00 to $22.00 and set a “neutral” rating on the stock in a report on Thursday, December 5th. Evercore ISI decreased their price objective on Foot Locker from $38.00 to $32.00 and set an “outperform” rating on the stock in a report on Tuesday, November 26th. Finally, Piper Sandler decreased their price objective on Foot Locker from $30.00 to $28.00 and set a “neutral” rating on the stock in a report on Monday, December 2nd. Four research analysts have rated the stock with a sell rating, nine have issued a hold rating and five have assigned a buy rating to the company. According to MarketBeat.com, the company has an average rating of “Hold” and an average target price of $24.94.

Hedge Funds Weigh In On Foot Locker

Institutional investors have recently added to or reduced their stakes in the company. Geode Capital Management LLC increased its holdings in shares of Foot Locker by 1.3% in the third quarter. Geode Capital Management LLC now owns 1,908,253 shares of the athletic footwear retailer’s stock valued at $49,319,000 after purchasing an additional 25,394 shares during the last quarter. Jacobs Levy Equity Management Inc. increased its holdings in shares of Foot Locker by 10.3% in the third quarter. Jacobs Levy Equity Management Inc. now owns 1,135,474 shares of the athletic footwear retailer’s stock valued at $29,341,000 after purchasing an additional 106,402 shares during the last quarter. Charles Schwab Investment Management Inc. increased its holdings in shares of Foot Locker by 3.6% in the third quarter. Charles Schwab Investment Management Inc. now owns 1,113,583 shares of the athletic footwear retailer’s stock valued at $28,775,000 after purchasing an additional 38,318 shares during the last quarter. Stifel Financial Corp increased its holdings in shares of Foot Locker by 43.3% in the third quarter. Stifel Financial Corp now owns 897,904 shares of the athletic footwear retailer’s stock valued at $23,202,000 after purchasing an additional 271,297 shares during the last quarter. Finally, Point72 Asset Management L.P. grew its stake in shares of Foot Locker by 37.0% in the third quarter. Point72 Asset Management L.P. now owns 549,997 shares of the athletic footwear retailer’s stock valued at $14,212,000 after acquiring an additional 148,523 shares in the last quarter.

Foot Locker Price Performance

The company has a quick ratio of 0.45, a current ratio of 1.67 and a debt-to-equity ratio of 0.15. The company’s 50 day moving average is $22.14 and its 200 day moving average is $25.04. The firm has a market capitalization of $2.00 billion, a price-to-earnings ratio of -4.66, a P/E/G ratio of 0.82 and a beta of 1.49.

Foot Locker (NYSE:FL) last released its quarterly earnings results on Wednesday, December 4th. The athletic footwear retailer reported $0.33 EPS for the quarter, missing the consensus estimate of $0.40 by ($0.07). Foot Locker had a negative net margin of 5.24% and a positive return on equity of 2.91%. The business had revenue of $1.96 billion during the quarter, compared to analyst estimates of $2.01 billion. During the same quarter last year, the company posted $0.30 earnings per share. The company’s revenue was down 1.4% on a year-over-year basis. On average, equities research analysts anticipate that Foot Locker, Inc. will post 1.23 earnings per share for the current fiscal year.

Foot Locker Company Profile

Foot Locker, Inc, through its subsidiaries, operates as a footwear and apparel retailer in North America, Europe, Australia, New Zealand, Asia, and the Middle East. Its brand portfolio includes Foot Locker, a brand comprising sneakers and apparel; Kids Foot Locker, which offers athletic footwear, apparel, and accessories for children; and Champs Sports that operates as a mall-based specialty athletic footwear and apparel retailer.