Foot Locker (FL) To Report Earnings Tomorrow: Here Is What To Expect

Footwear and apparel retailer Foot Locker (NYSE:FL) will be reporting results tomorrow before the bell. Here's what to look for.

Foot Locker beat analysts' revenue expectations by 4.6% last quarter, reporting revenues of $2.38 billion, up 2% year on year. It was a weaker quarter for the company, with underwhelming earnings guidance for the full year.

Is Foot Locker a buy or sell going into earnings? Read our full analysis here, it's free.

This quarter, analysts are expecting Foot Locker's revenue to decline 2.5% year on year to $1.88 billion, improving from the 11.3% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.12 per share.

The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Foot Locker has missed Wall Street's revenue estimates three times over the last two years.

Looking at Foot Locker's peers in the apparel and footwear retail segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Shoe Carnival delivered year-on-year revenue growth of 6.8%, beating analysts' expectations by 2%, and Boot Barn reported a revenue decline of 8.7%, in line with consensus estimates. Shoe Carnival traded up 7.9% following the results while Boot Barn was also up 2.8%.

Read our full analysis of Shoe Carnival's results here and Boot Barn's results here.

There has been positive sentiment among investors in the apparel and footwear retail segment, with share prices up 9.3% on average over the last month. Foot Locker is up 10.4% during the same time and is heading into earnings with an average analyst price target of $24.1 (compared to the current share price of $23.02).

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