logo
  Join        Login             Stock Quote

Hot Topic (HOTT) Holiday Comps Up 2.2 Pct, Issues Upbeat Earnings View

 January 02, 2013 04:21 PM
 


(By Balaseshan) Hot Topic Inc. (NASDAQ: HOTT), a mall and web based specialty retailer, said its comparable store sales for the combined November/December "Holiday" period increased 2.2% on top of last year's 1.8% gain.

Comparable store sales from Hot Topic segment rose 1.6%, while store sales from Torrid grew 5.5%.

Hot Topic also forecast 2013 earnings to increase 30% to 35% over fiscal 2012 based upon a comp sales increase in the low-single-digit range, while Street predicts a 21.40% earnings growth.

Hot Topic reported net sales of $177.3 million for the combined November/December "Holiday" period (nine weeks ended December 29, 2012), up 4% from last year.

[Related -Merger Arbitrage Mondays – June 3, 2013]

The company reiterated its previously announced fourth quarter earnings guidance in the range of $0.23 to $0.27 per share, as compared to earnings per share of $0.21 last year, while Street predicts $0.25 per share. This guidance is based upon a comp sales increase in the low to mid-single-digit percentage range.

"At Hot Topic, we continue to see strong results in the fashion apparel and tee businesses, which offset the challenges in accessories. We are excited about the prospects of our businesses in 2013. Based upon our progress and positive outlook, we continue to plan to open about 40 new Torrid stores, 15 new Hot Topic outlets and an additional 5 to 10 Blackheart stores in 2013," said Lisa Harper, Chairman and CEO of Hot Topic.

The company also announced the repurchase of 2.535 million shares of its common stock in fiscal December at an average cost of $9.86 for a total of $25 million. The repurchase was pursuant to its Board of Directors' authorization of the repurchase of up to $25 million of the company's common stock.

[Related -Hot Topic (HOTT) 4Q Earnings Jump 35 Pct, Beat Estimates]

The company estimates that diluted shares outstanding for the fourth quarter of 2012 to be about 42.5 million shares and 41.5 million shares in the first quarter of fiscal 2013.

As of December 29, 2012, the company operated 619 Hot Topic stores in all 50 states, Puerto Rico and Canada, 190 Torrid stores, 5 Blackheart stores, and Internet stores.

HOTT closed Wednesday's regular session up 0.93% at $9.72. The stock has been trading between $6.44 and $10.73 for the past 52 weeks.

iOnTheMarket Premium
Advertisement

Advertisement


Post Comment -- Login is required to post message
Name:  
Alert for new comments:
Your email:
Your Website:
Title:
Comments:
 

rss feed

Latest Stories

article imageHow Apple Could Send This Emerging Market Into Overdrive

Don't get distracted by the alphabet soup of emerging market investing -- there are other areas to get read on...

article imageJobless Claims Fell Last Week, Underlining Bullish Trend

New filings for unemployment benefits fell 2,000 to a seasonally adjusted 291,000 for the week through read on...

article image26.25% Annual Return With Lobbying Stocks?

I found an interesting portfolio investing idea: Invest into stocks that spend a huge amount of money to read on...

article imageGlobal Economic Picture Worsens Further.

The Markit PMI Indexes for November are out for a number of countries this morning, and almost all were read on...

Advertisement
Popular Articles

Advertisement
Daily Sector Scan
Partner Center



Fundamental data is provided by Zacks Investment Research, and Commentary, news and Press Releases provided by YellowBrix and Quotemedia.
All information provided "as is" for informational purposes only, not intended for trading purposes or advice. iStockAnalyst.com is not an investment adviser and does not provide, endorse or review any information or data contained herein.
The blog articles are opinions by respective blogger. By using this site you are agreeing to terms and conditions posted on respective bloggers' website.
The postings/comments on the site may or may not be from reliable sources. Neither iStockAnalyst nor any of its independent providers is liable for any informational errors, incompleteness, or delays, or for any actions taken in reliance on information contained herein. You are solely responsible for the investment decisions made by you and the consequences resulting therefrom. By accessing the iStockAnalyst.com site, you agree not to redistribute the information found therein.
The sector scan is based on 15-30 minutes delayed data. The Pattern scan is based on EOD data.