Citi Trends slips in pre-market on negative comparison store sales in July
Shares of Citi Trends, Inc. (Nasdaq:CTRN) are sinking on high volume in pre-market trading after the value-priced retailer of urban fashion said after Wednesday’s close that comparable store sales edged down 1.9% in the month of July as sales softened towards the end of the second quarter. The retailer said sales for the second quarter increased 6.5% as a result of the government stimulus checks — a temporary propellant for consumer spending.
Citi Trends is forecasting earnings in a range of $0.15 to $0.18, compared with last year’s $0.04, as the retailer benefited from an improvement in gross margin due to lower merchandise markdowns and inventory shrinkage. The consensus on Wall Street is for earnings of $0.05 per share.
Shares slipped 13%, or $3.26, to $21.60 in pre-market trading. For detailed price information and recent news stories about Citi Trends, click CTRN.
