Hibbett Sports (HIBB), a regional sporting goods chain, issued a profit warning that its 100+ stores will report a 10% drop in same store sales, for the Q2 ’17. The news sent HIBB shares tumbling 30% and caused the prices of several other sporting goods and sneaker retailers (FL, FINL, DKS, NKE, UAA) to plummet along with it, to a total shareholder loss of $2.5 Billion. The chain has recently launched, albeit a bit late, a new e-commerce platform that will integrate with its stores, in an attempt to stop the trend.
Shares of this sports retailer are crashing, dragging Foot Locker, Nike down with it
Howie Long-Short opines: It seems buying footwear online is becoming more and more accepted by consumers. And Hibbett (52% of sales from footwear) just realized they should, probably, have a website? Uh oh.
Fan Marino says: HIBB shareholders have to wonder what the marketing department has been up to since 2005.