Diamonds and Dogs
3/11/13Dick's Sporting Goods Inc. (DKS)
Dick's Sporting Goods is striking out today, down 10.85% at $45.11. The sporting goods retailer saw shares drop after reporting lower than expected earnings. For the fourth quarter, Dick's announced that net income was $129.7 million or $0.88 per share, which missed analyst estimates of $1.06 per share. Revenue came in at $1.8 billion, which again missed Wall Street's forecast of $1.86 billion. Dick's management announced that the miss was caused by two reasons. First, the company said that it misjudged demand for cold-weather gear. Second, Dick's said the current problems with Lance Armstrong have hurt Livestrong sales. The company managed to trade above its 52-week low of $44.06.
Genworth Financial Inc. (GNW)
Genworth Financial is trading in the green today, up 6.61% at $10.49. The wealth management and insurance company saw its shares pop after a positive article in Barron's over the weekend. The article titled "Why Genworth Financial Will Finally Reward Investors" was a bullish outlook for the company. One point of optimism in the article was the fact that Genworth decided to combine its U.S. and European mortgage-insurance operations into a single unit. CFO Martin Klein said, "We're working under a new strategy for the turnaround over the next two years; first we need to improve earnings, simplify our portfolio, generate capital and build flexibility by, for example, deleveraging. Then we can think about the best ultimate combination of businesses." Genworth set a new 52-week high today.
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