: Foot Locker’s stock leaps toward 4-month high after a triple beat in earnings and improved sales outlook

Shares of Foot Locker Inc. FL ran up 11.2% toward a four-month high in premarket trading Wednesday, after the athletic footwear retailer reported fiscal third-quarter beat profit, revenue and same-store sales expectations, citing improved conversion trends. Net income for the quarter to Oct. 28 fell to $28 million, or 30 cents a share, from $96 million, or $1.01 a share, in the year-ago period. Excluding nonrecurring items, adjusted earnings per share of 30 cents beat the FactSet consensus of 21 cents. Total revenue declined 8.6% to $1.99 billion, above the FactSet consensus of $1.96 billion, as same-store sales fell 8.0% to beat expectations for a 9.7% decline. Looking ahead, the company narrowed its fiscal 2023 sales change outlook to a decline of 8.0% to 8.5% from a decline of 8.0% to 9.0% and improved its same-stores sales change guidance to down 8.5% to 9.0% from down 9.0% to 10.0%, but trimmed its adjusted EPS outlook to $1.30 to $1.40 from $1.30 to $1.50. The stock has soared 30.1% over the past three months through Tuesday, while the SPDR S&P Retail ETF XRT has gained 0.6% and the S&P 500 SPX has advanced 1.3%.

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