DKS slashes full-year EPS forecast to $10.94-$11.94 after Q2 miss, citing Nike inventory markdowns and shifting consumer demand.
Dick’s Sporting Goods reported second-quarter adjusted earnings per share of $3.53, missing estimates of $3.76. The retailer lowered its full-year EPS outlook to $10.94-$11.94 from $13.27-$14.27, citing a slowdown in Nike footwear sales and aggressive markdowns across the sector.
Executives attributed the weakness to a consumer shift away from legacy sneaker silhouettes, pressuring brands like Nike, Adidas, and On. Analysts warned of a “domino effect” of pricing pressure as competitors follow Nike’s discounting strategy, straining Dick’s margins.
Shares of Dick’s plunged 30.7% on Tuesday, reflecting investor concerns over its reliance on Nike and emerging brands amid broader retail softness.