By Tom Knighton
Dick’s Sporting Goods wanted the whole world to know it was one of the “good guys” in the gun debate. It unilaterally decided to discriminate against certain law-abiding adults and refuse to sell guns to anyone aged 18-21 as well as removing AR-15 style rifles from the last of its stores. It wanted to make sure anti-gun zealots counted them as acceptable.
And, it looked like the strategy might pan out for a bit there. They had a good quarter. Stock’s responded.
However, it also looked like the spike in earnings then was a short-term boost of people wanting to give Dick’s a pat on the head. I commented back in May that I didn’t expect it to last.
Dick’s Sporting Goods (DKS.N) reported a bigger-than-expected drop in quarterly same-store sales on Wednesday and forecast further declines this year, hit by tighter gun controls and a drop in Under Armour sales.
Shares in the company fell as much as 10 percent after it posted a 1.9 percent drop in same-store sales, bigger than analysts’ average estimate of a 0.62 percent dip.
Dick’s was one of the first retailers to stop selling assault rifles and high-capacity magazines as well as …Read the Rest
Source:: Bearing Arms