EmailThe consumer discretionary group is slightly underperforming the broader market in early trade.
The retail group is in the red with the Retail HOLDRS Trust (RTH) down 0.2% and the SPDR S&P Retail ETF (XRT) up 1.2%.
Select names trading higher following earnings/guidance: HOV +4.2% Other names trading lower following earnings guidance: GIII -14.3%, MW -6.1%, CASY -5.7%, UNFI -3.2%, SFD -3.1%, TZOO -2.4%, HWD -2.0%, FUN -1.5%, PSMT -0.8%, SWHC -0.7%.
Other notable mentions: Select homebuilders including PulteGroup (PHM -2.6%), Lennar (LEN -0.8%), D.R. Horton (DHI -1.6%) and KB Home (KBH -1.8%) received letters related to pay inquiry from the Dept of Labor, according to reports. FBR Capital also initiated several names in the group-- Standard Pacific (SPF +1.2%) with an Outperform, and initiates Pulte Group, Meritage Homes (MTH -0.7%), KB Home and Ryland Group (RYL -1.4%) with Market Performs. Leaders: Parlux Fragrances (PARL +11.2%) and Perfumania entered into a Mutual Confidentiality Agreement... Deckers Outdoor (DECK +2.6%) was mentioned positively on MadMoney.
Analyst related: Darden Restaurants (DRI flat) upgraded to Outperform from Market Perform at Wells Fargo. Talbots (TLB -1.4%) upgraded to Neutral from Underweight at Piper Jaffray. Safeway (SWY +1.5%) upgraded to Equal Weight from Underweight at Morgan Stanley. Credit Suisse initiates Nike (NKE -0.4%), Limited Brands (LTD -1.4%), Columbia Sportswear Company (COLM flat), Quiksilver (ZQK -0.5%), Lululemon Athletica (LULU +1.7%), Urban Outfitters (URBN -0.9%), and Under Armour (UA -1.3%) with Neutrals. They also initiate Coach (COH flat), VF Corporation (VFC +1.7%), Deckers Outdoor, and Wolverine World Wide (WWW +0..5%) with Outperforms. American Axle (AXL -1.6%) initiated with an Underweight at Morgan Stanley.
