The post Here’s why this retail stock is down 6% after strong Q2 earnings appeared on BitcoinEthereumNews.com.

Key points Dick’s Sporting Goods crushed earnings estimates in Q2 and raised its guidance for the full year. However, the stock price dropped more than 6% on Wednesday after earnings came out. Should you buy Dick’s Sporting Goods stock on the dip? A popular retail stock saw its share price plummet more than 6% after it posted strong Q2 earnings. What caused the dip, and should investors view it as a buying opportunity? The stock market can be a fickle thing, as Dick’s Sporting Goods (NYSE: DKS) found out Wednesday. The leading sporting goods retailer had blowout second quarter earnings that topped estimates and raised its guidance for the rest of the fiscal year — and still, the stock was down more than 6% on the day. It is not typical for that combination of results – earnings beat and raised guidance – to cause the stock price to plummet. But that’s exactly what happened. Here’s why. Blowout Q2 earnings Dicks Sporting Goods has been on a great run over the past several years. The stock price is up about 50% year to date and over the past 12 months, as of Sept. 3, it has returned 95%. Further, over the past five years it has generated an average annualized return of 45%. It has undoubtedly been one of the best retail stocks over that stretch. The momentum seemed to be continuing after the retailer released its fiscal second quarter earnings report on Wednesday. In the second quarter, Dick’s generated $3.47 billion in net sales, a 7.8% year over year increase, with same store sales rising 4.5%. This was better than the $3.4 billion in revenue that analysts had predicted. The company’s net income jumped 48% year over year to $362 million, while earnings per share rose 55% to $4.37…

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Filed under: News - @ September 5, 2024 7:20 am