Barclays Lowers Foot Locker Price Target to $42.00
May 7, 2023
Trending News 🌧️
The company is one of the world’s largest providers of athletic footwear and apparel, and its stock is widely traded on the New York Stock Exchange. Recently, Barclays has lowered its price target for Foot Locker ($NYSE:FL) to $42.00. According to Defense World, this reflects a modest change in the bank’s outlook for the stock. Barclays noted that its revised target is still higher than the current market price for Foot Locker shares. The bank also pointed out that despite the lower target, Foot Locker’s strong cash flow and focus on digital presence are positive signs for the company’s future.
Barclays’ analysts remain optimistic that the company’s strategic initiatives and investments in digital capabilities will drive its long-term success. Despite the lowered price target, Foot Locker remains a popular stock among investors. Despite the recent volatility in the stock market, Foot Locker’s long-term prospects remain strong and many analysts remain confident in its ability to turn around its financial performance in the coming quarters.
Price History
This occurred on Wednesday, when the stock opened at $40.9 and closed at $40.7, which was 0.4% lower than the previous closing price of $40.9. Despite the lowered price target, Barclays analysts remain positive on the company’s future prospects and think that Foot Locker’s investments in e-commerce and digital capabilities will deliver long-term growth. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Foot Locker. More…
| Total Revenues | Net Income | Net Margin |
| 8.76k | 342 | 4.8% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Foot Locker. More…
| Operations | Investing | Financing |
| 136 | -1.38k | -152 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Foot Locker. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 7.91k | 4.61k | 34.85 |
Key Ratios Snapshot
Some of the financial key ratios for Foot Locker are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 3.0% | -0.8% | 6.2% |
| FCF Margin | ROE | ROA |
| -1.8% | 10.4% | 4.3% |
Analysis
At GoodWhale, we have completed a thorough analysis of FOOT LOCKER‘s financials. After carefully examining the company’s books, we have determined that FOOT LOCKER is a medium risk investment. This means that there is some potential for return, but there may also be some risks too. We have identified two risk warnings in FOOT LOCKER’s balance sheet and cashflow statement. If you would like to know more, please register with us to access our comprehensive analysis. We will make sure you have all of the information you need to make an informed decision about whether to invest in FOOT LOCKER. More…
Peers
The company operates in more than 20 countries and has over 3,500 stores. Its main competitors are Zumiez Inc, Abercrombie & Fitch Co, and TJX Companies Inc.
– Zumiez Inc ($NASDAQ:ZUMZ)
Zumiez is a publicly traded company with a market capitalization of 398.36 million as of 2022. The company has a return on equity of 16.06%. Zumiez is a specialty retailer of apparel, footwear, and accessories for young men and women. The company operates over 800 stores in the United States, Canada, and Europe.
– Abercrombie & Fitch Co ($NYSE:ANF)
Abercrombie & Fitch Co is an American lifestyle retailer that focuses on casual wear for young consumers. The company operates through three segments: Domestic, International, and Direct-to-Consumer. As of 2022, Abercrombie & Fitch Co had a market capitalization of 816.97 million and a return on equity of 14.85%. The company’s domestic segment includes stores in the United States and Puerto Rico. The international segment consists of stores in Europe, Asia, Canada, Mexico, and the Middle East. The Direct-to-Consumer segment includes e-commerce operations in the United States and international markets.
– TJX Companies Inc ($NYSE:TJX)
The TJX Companies, Inc. is an American multinational off-price department store chain, based in Framingham, Massachusetts. It operates TJ Maxx, Marshalls, HomeGoods, Sierra Trading Post, and HomeSense stores in the United States; Winners, HomeSense, and Marshalls stores in Canada; T.K. Maxx stores in the United Kingdom, Ireland, Germany, Poland, Austria, and the Netherlands; and Trade Secret stores in Australia.
Summary
Foot Locker is a global athletic footwear retailer that has seen a decline in its stock price over the past year. A recent investment analysis from Barclays has lowered their price target to $42.00. The analysts cite a decline in sales due to store closures, high inventory levels due to a slow start to the back-to-school season, and a shift in consumer trends away from athletic footwear as primary drivers for the lower price target.
Additionally, the analysts note a decline in Foot Locker’s same-store sales, which have been steadily decreasing over the past year. Despite the overall bearish outlook, Barclays believes that Foot Locker’s cost-cutting measures and potential upside from the company’s e-commerce initiatives could help to improve shareholder value over the long-term.
Related Posts
Recent Posts
Investing Everyone Can Do.
Investing shouldn’t be exclusive to a select few. We believe everyone should have the opportunity to grow their wealth. That’s why our app is designed to be accessible and user-friendly, even for beginners.
