Movers: Citi Trends, Credit Suisse, First Republic Bank, Foot Locker, GameStop, Tesla, UBS

Scott Peters
21 Mar, 2023
New York City

Regional banks led the gainers after beaten down banks advanced following comments from the U.S. Treasury Secretary Janet Yellen.

Last week the Federal Reserve partially reversed its quantitative tightening program and added $300 billion in liquidity. 

In months to come it will be clear if the Fed's balance sheet expansion will be inflationary or only act as a backstop and keep stressed banks solvent. 

But for now, Secretary Yellen supported the balance sheet expansion move. 

“The Fed facility and discount window lending are working as intended to provide liquidity to the banking system. 

Aggregate deposit outflows from regional banks have stabilized," said Yellen to a group of gathering bankers on Tuesday. 

First Republic Bank soared 34.6% to 11,750.69, KeyCorp increased 6.0% to $12.35 and PacWest Bancorporation jumped 15.6% to $11.93. 

UBS Group AG soared 9.1% to $20.48 a day after the largest Swiss jumped 3% following the forced takeover of Credit Suisse engineered by the Swiss government and the Swiss National Bank. 

Credit Suisse Group AG increased 1% to 96 cents in New York and jumped 5% to 4.7% to 86 Swiss cents.  

Foot Locker Inc increased 6.1% to $42.28 a day after the specialty athletic retailer posted better-than-expected same store sales. 

The retailer is also increasing its focus on selling online and plans to offer a deeper selection for younger children and kids. 

Citi Trends, Inc dropped 12.5% to $20.39 after the apparel and accessories retailer focused on the needs of African American and multicultural families reported a sharp decline in sales. 

Sales in the fourth quarter ending on January 28 dropped 13.1% to  $209.5 million and net income declined to $6.6 million from $9.8 million and diluted earnings per share fell to 81 cents from $1.16 a year ago. 

In the full-year 2022, total sales declined 19.8% to $795 million and net income dropped to $58.9 million from $62.2 million and diluted earnings per share increased to $7.17 from $6.91 a year ago. 

The retailer opened 12 new stores, remodeled 35 stores and closed 10 stores to end the fiscal year with 611 locations. 

GameStop Corp increased 8.7% to $18.34 ahead of the specialty retailer releasing its fourth quarter earnings after the regular trading hours. 

GameStop said revenue in the third quarter ending in October declined to $1.18 billion from $1.29 billion and net loss shrank to $94.7 million from $105.4 million and diluted loss per share fell to 31 cents from 35 cents a year ago. 

Tesla Inc increased 4.1% to $12.35 after Moody's lifted the electric vehicle makers' bond rating from speculative or "junk bond" to Baa3. 

The Baa3 is the lowest tier in the 10-tier investment grade rating system.