Street View: Uncertainty over consumer spending weighs on Dick's Sporting annual outlook

Retailer Dick's Sporting Goods DKS.N annual sales and earnings forecast missed analysts' estimate on Tuesday, amid a "dynamic macroeconomic environment"

Shares fell nearly 2% in early trading on Wednesday

At least six brokerages cut PT on stock after results

CONCERNS OVER CONSUMER SPENDING

Jefferies ("hold", cuts PT to $211 from $217) says the threat for increased markdowns from unfavorable weather or consumer behavior looms heading into spring 2025

"We expect vendors to swallow some higher wholesale costs, but also envision DKS needing to take a hit after some degree of pricing is passed through to consumers," brokerage says

Truist ("buy", cuts PT to $245 from $280) says mounting consumer pressures could limit potential sales/earnings growth and DKS' multiple

Stifel ("hold", cuts PT to $226 from $240) says increased inventory in the near-term adds markdown risk should business slow

TD Cowen ("buy", cuts PT to $285 from $294) says increased investments in store growth could raise SG&A rates