Dick's (DKS) Sporting Goods Plans $200M Buyback, Revises EPS View

 Jan 12, 2012 |

 

Dick's Sporting Goods Inc. (NYSE: DKS) announced it will buyback shares worth for up to $200 million and revised its fourth quarter and full-year earnings forecast.

On Thursday, shares surged 5.7 percent to $38.50 in pre-market.

The Coraopolis, Pennsylvania-based sporting goods retailer said the warmer-and drier-than-normal winter has impacted its same store sales and inventory levels.

The company now expects fourth quarter earnings per share in the range of $0.87 to $0.88 from prior expectations of $0.87 to $0.89, while analysts expect $0.87 a share. It also expects same store sales to be slightly negative to slightly positive compared to its prior outlook of flat to an increase of 1 percent.

For full year 2011, non-GAAP consolidated earnings per share are expected to be $2.01 to 2.02, compared with prior view of $2.01 to 2.03, while analysts estimate $2.02 a share. Same store sales are expected to approach 2 percent.

DKS, which has been trading in the 52-week range between $29.10 and $42.97, ended Wednesday's regular trading at $36.40.



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