The stock of Dick’s Sporting Goods (DKS) is down 10% after the retailer reported second-quarter financial results that fell short of Wall Street’s expectations.
The sporting goods chain announced earnings per share (EPS) of $3.53 U.S., which was below the $3.76 U.S. consensus expectation of analysts.
Revenue in the April through June period totaled $5.59 billion U.S., which missed the $5.65 billion U.S. forecast on Wall Street. Comparable sales were up 4.9% from a year ago.
Management at Dick’s Sporting Goods blamed the poor results on weak sales of its sneakers, saying the company is struggling with a “challenging athletic footwear and apparel marketplace.”
Specifically, Dick’s said that Foot Locker, which it acquired for $2.4 billion U.S. in 2025, saw comparable sales decline by 3.6% in the second quarter.
The company revised down its outlook for Foot Locker’s sales this year to flat to down 2%. It still expects its overall business to grow between 2.5% and 4% in 2026.
But owing largely to weak sales at Foot Locker, Dick’s lowered its overall sales outlook for the year to between $21.9 billion U.S. and $22.2 billion U.S.
That’s down from a range of $22.1 billion U.S. to $22.4 billion U.S. previously.
Management also lowered its forecast for operating income to a range of $1.45 billion U.S. to $1.55 billion U.S., down from a previous range of $1.69 billion U.S. to $1.81 billion U.S.
Dick’s Sporting Goods received $59 million U.S. in tariff refunds during the second quarter and $2.1 million U.S. in related interest income.
The latest earnings report comes as Dick’s is in the midst of both absorbing Foot Locker and implementing a turnaround at the shoe retailer.
Prior to today (Aug. 25), DKS stock had declined 21% over the last year to trade at $179.33 U.S. per share.
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