Movers: Chewy, Dollar General, Macy's, Nordstrom, Salesforce

Scott Peters
01 Jun, 2023
New York City

Nordstrom Inc increased 3% to $15.76 after the company reported better-than-expected quarterly results. 

The company reaffirmed its revenue and adjusted financial outlook for fiscal 2023 and revenue is estimated to fall between 4% and 6%, including an approximately 250 basis point negative impact from the wind-down of Canadian operations and an approximately 130 basis point positive impact from the 53rd week in the current year. 

Net sales declined 11.6% to $3.0 billion from $3.5 billion and the company swung to a loss of $205 million from a profit of $20 million and diluted earnings per share was ($1.27) compared to 13 cents a year ago.

Salesforce Inc declined 5% to $212.38 after the company highlighted softness  in large account sales activities. 

Revenue in the first quarter ending in April increased 11% to $8.25 billion from $7.4 billion and net income jumped to $199 million from $28 million and diluted earnings per share advanced to 20 cents from 3 cents a year ago. 

The company reiterated its full-year fiscal 2024 revenue to fall 10% to between $34.5 billion and $334.7 billion and GAAP earnings between $2.67 and $2.69. 

The company estimated fiscal second quarter revenue range between $8.51 billion and $8.53 billion and GAAP earnings per share between 79 cents and 80 cents.  

Macy's Inc declined 4.8% to $12.94 after the company reported weak quarterly results and lowered its annual outlook citing macroeconomic headwinds. 

Net sales in the quarter declined 7% to $4.98 billion from $5.4 billion and net income plunged to $155 million from $286 million and diluted earnings per share fell to 56 cents from 98 cents a a year ago. 

Digital sales declined 8% and retail store sales fell 6% from a year  ago. 

Comparable store sales at locations owned by the company declined 7.9% and fell 7.2% including licensed sales.   

The company lowered its full-year revenue estimate to between $22.8 billion from $23.2 billion from between $23.7 billion and $24.2 billion in the previous estimate. 

Dollar General Corp plunged 18.4% to $164.40 after the deep discount retailer lowered its same store sales in the current year to between 1% and 2% from the previous estimate between 3.0% and 3.5%. 

The retailer also lowered its net sales growth estimate in the current year to between 3.5% and 5.0% from the previous estimate between 5.5% and 6.0%. 

Net sales in the quarter increased 6.8% to $9.3 billion and net income declined to $514.8 million from $552.6 million and diluted earnings per share fell to $2.34 from $2.41 a year ago. 

As of May 5, 2023, total merchandise inventories, at cost, were $7.3 billion compared to $6.1 billion as of April 29, 2022, an increase of 14.7% on a per-store basis. 

This increase primarily reflects the impact of product cost inflation.

The company declared quarterly dividend of 59 cents a share, payable on or before July 25 to shareholders on record July 11. 

Chewy Inc soared 23.5% to $36.43 after the online retailer of pet foods reported better-than-expected quarterly results. 

Net sales in the fiscal first quarter increased 14.7% to $2.78 billion and net income increased to $22.2 million from $18.5 million and diluted earnings per share rose to 5 cents from 4 cents a year ago.