Foot Locker's (FL) Footaction Opens New Store in Toronto
In an effort to increase footprint outside the U.S., Foot Locker, Inc.’s FL Footaction inaugurated its first international store in Toronto Eaton Centre. The new store is spread across a sprawling area of 6,500 square feet.
Foot Locker, one of the widely recognized names in the athletic footwear and apparel industry is not only aggressively focusing on opening new stores but is also closing the underperforming ones. During fourth-quarter fiscal 2016, Foot Locker opened 20 new outlets, remodeled or relocated 59 outlets and shuttered 51 outlets. In fiscal 2017, the company plans to open 90 stores and shutter about 100 outlets.
As of now, the company operated 3,363 outlets across 23 countries in North America, Australia, New Zealand and Europe. Apart from these, there are 59 franchised Foot Locker stores in South Korea and the Middle East. Germany has 15 franchised Runners Point stores. Meanwhile, Footaction has above 265 brick-and-mortar locations including the recent one in Toronto across North America as well as direct-to-consumer channels.
Management believes that by continually capitalizing on opportunities like kids’ and women’s business, shop-in-shop expansion in collaboration with vendors (such as House of Hoops, PUMA Labs, Jordan Flight 23 shops and The ARMOURY at Champs Sports), store banner.com business, store refurbishment and enhancement of assortments, Foot Locker is likely to reap benefits in the long run.
The Zacks Rank #2 (Buy) company’s stock has outperformed the Zacks categorized industry in the past one year. The stock has surged 21.6%, while the Zacks categorized Retail-Apparel/Shoe industry has witnessed a decline of 21.4%.
Other Stocks to Consider
Other top stocks in the retail sector that warrant a look include Burlington Stores, Inc. BURL, The Children's Place, Inc. PLCE and Best Buy Co., Inc. BBY. All these stocks sport a Zacks Rank #1 (Strong Buy).You can see the complete list of today’s Zacks #1 Rank stocks here.
Burlington Store delivered an average positive earnings surprise of 26.3% in the trailing four quarters and has a long-term earnings growth rate of 15.9%.
Children's Place delivered an average positive earnings surprise of 39% in the trailing four quarters and has a long-term earnings growth rate of 8%.
Best Buy delivered an average positive earnings surprise of 27.7% in the trailing four quarters and has a long-term earnings growth rate of 10.5%.
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Foot Locker, Inc. (FL): Free Stock Analysis Report
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