Citigroup Lowers Foot Locker (NYSE:FL) to Neutral

Citigroup downgraded shares of Foot Locker (NYSE:FL) from a buy rating to a neutral rating in a research report report published on Wednesday, April 10th, Benzinga’s Daily Ratings Newsletter reports. The brokerage currently has $68.00 target price on the athletic footwear retailer’s stock, down from their previous target price of $72.00.

Several other analysts also recently commented on the company. Robert W. Baird increased their target price on Foot Locker from $65.00 to $77.00 and gave the company an outperform rating in a research note on Monday, March 4th. They noted that the move was a valuation call. Pivotal Research downgraded Foot Locker from a buy rating to a hold rating and set a $64.00 price target on the stock. in a research note on Tuesday, February 26th. Jefferies Financial Group raised their price target on Foot Locker from $62.00 to $67.00 and gave the stock a buy rating in a research note on Friday, January 25th. Wedbush restated a buy rating and issued a $73.00 price target on shares of Foot Locker in a research note on Monday, April 1st. Finally, Guggenheim restated a buy rating and issued a $66.00 price target on shares of Foot Locker in a research note on Thursday, February 21st. One investment analyst has rated the stock with a sell rating, seven have issued a hold rating and fourteen have issued a buy rating to the company. The stock has a consensus rating of Buy and a consensus price target of $65.85.

FL stock traded down $0.55 on Wednesday, reaching $55.27. 2,330,357 shares of the company traded hands, compared to its average volume of 2,649,582. Foot Locker has a one year low of $40.02 and a one year high of $68.00. The company has a quick ratio of 1.63, a current ratio of 3.30 and a debt-to-equity ratio of 0.05. The firm has a market cap of $6.21 billion, a PE ratio of 11.73, a price-to-earnings-growth ratio of 1.16 and a beta of 0.72.

Foot Locker (NYSE:FL) last posted its quarterly earnings data on Friday, March 1st. The athletic footwear retailer reported $1.56 earnings per share for the quarter, beating the Zacks’ consensus estimate of $1.39 by $0.17. Foot Locker had a return on equity of 21.92% and a net margin of 6.81%. The company had revenue of $2.27 billion during the quarter, compared to analyst estimates of $2.18 billion. During the same quarter last year, the company earned $1.26 EPS. The firm’s revenue for the quarter was up 2.8% on a year-over-year basis. On average, research analysts expect that Foot Locker will post 5.2 earnings per share for the current fiscal year.

The firm also recently declared a quarterly dividend, which was paid on Friday, May 3rd. Shareholders of record on Thursday, April 18th were issued a dividend of $0.38 per share. The ex-dividend date of this dividend was Wednesday, April 17th. This is a boost from Foot Locker’s previous quarterly dividend of $0.35. This represents a $1.52 dividend on an annualized basis and a yield of 2.75%. Foot Locker’s dividend payout ratio (DPR) is currently 32.27%.

Foot Locker announced that its board has approved a share buyback plan on Wednesday, February 20th that allows the company to buyback $1.20 billion in outstanding shares. This buyback authorization allows the athletic footwear retailer to purchase up to 17.7% of its shares through open market purchases. Shares buyback plans are typically an indication that the company’s leadership believes its shares are undervalued.

In other Foot Locker news, CEO Richard A. Johnson sold 80,000 shares of the firm’s stock in a transaction dated Wednesday, February 20th. The stock was sold at an average price of $60.01, for a total transaction of $4,800,800.00. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. 2.40% of the stock is owned by company insiders.

Large investors have recently bought and sold shares of the business. Vanguard Group Inc. increased its holdings in shares of Foot Locker by 0.7% in the third quarter. Vanguard Group Inc. now owns 12,178,329 shares of the athletic footwear retailer’s stock worth $620,851,000 after purchasing an additional 85,314 shares during the last quarter. Vanguard Group Inc increased its holdings in shares of Foot Locker by 0.7% in the third quarter. Vanguard Group Inc now owns 12,178,329 shares of the athletic footwear retailer’s stock worth $620,851,000 after purchasing an additional 85,314 shares during the last quarter. BlackRock Inc. increased its holdings in shares of Foot Locker by 2.1% in the fourth quarter. BlackRock Inc. now owns 7,046,767 shares of the athletic footwear retailer’s stock worth $374,890,000 after purchasing an additional 146,138 shares during the last quarter. AQR Capital Management LLC increased its holdings in shares of Foot Locker by 140.8% in the third quarter. AQR Capital Management LLC now owns 5,694,180 shares of the athletic footwear retailer’s stock worth $290,289,000 after purchasing an additional 3,329,150 shares during the last quarter. Finally, Bank of New York Mellon Corp increased its holdings in shares of Foot Locker by 2.1% in the fourth quarter. Bank of New York Mellon Corp now owns 5,361,255 shares of the athletic footwear retailer’s stock worth $285,219,000 after purchasing an additional 112,778 shares during the last quarter. 97.88% of the stock is currently owned by institutional investors and hedge funds.

About Foot Locker

Foot Locker, Inc, through its subsidiaries, operates as an athletic shoes and apparel retailer. The company operates in two segments, Athletic Stores and Direct-to-Customers. The Athletic Stores segment retails athletic footwear, apparel, accessories, and equipment under various formats, including Foot Locker, Kids Foot Locker, Lady Foot Locker, Champs Sports, Footaction, Runners Point, Sidestep, and SIX:02.

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Analyst Recommendations for Foot Locker (NYSE:FL)

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