Is Foot Locker Stock a Good Investment?
Foot Locker Investment Advice | FL |
- Examine Foot Locker's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Foot Locker's leadership team and their track record. Good management can help Foot Locker navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Specialty Retail space and any emerging trends that could impact Foot Locker's business and its evolving consumer preferences.
- Compare Foot Locker's performance and market position to its competitors. Analyze how Foot Locker is positioned in terms of product offerings, innovation, and market share.
- Check if Foot Locker pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Foot Locker's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Foot Locker stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Foot Locker is a good investment.
Sell | Buy |
Hold
Market Performance | Very Weak | Details | |
Volatility | Not too volatile | Details | |
Hype Condition | Low key | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Below Average | Details | |
Economic Sensitivity | Responds to the market | Details | |
Investor Sentiment | Impartial | Details | |
Analyst Consensus | Hold | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Examine Foot Locker Stock
Researching Foot Locker's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 99.0% of the company shares are owned by institutional investors. The company has price-to-book (P/B) ratio of 0.8. Some equities with similar Price to Book (P/B) outperform the market in the long run. Foot Locker recorded a loss per share of 3.88. The entity last dividend was issued on the 12th of October 2023. The firm had 2:1 split on the 1st of June 1990.
To determine if Foot Locker is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Foot Locker's research are outlined below:
| Foot Locker generated a negative expected return over the last 90 days | |
| The company generated the yearly revenue of 8.17 B. Annual Net Loss to common stockholders was (330 M) with gross profit of 2.8 B. | |
| Over 99.0% of the company shares are owned by institutional investors | |
| Latest headline from investing.com: Evercore ISI cuts Foot Locker target to 32, keeps Outperform |
Foot Locker Quarterly Accounts Payable |
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Foot Locker uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Foot Locker. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Foot Locker's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 18th of March 2024 Upcoming Quarterly Report | View | |
| 17th of May 2024 Next Financial Report | View | |
| 31st of January 2024 Next Fiscal Quarter End | View | |
| 18th of March 2024 Next Fiscal Year End | View | |
| 31st of October 2023 Last Quarter Report | View | |
| 31st of January 2023 Last Financial Announcement | View |
Earnings surprises can significantly impact Foot Locker's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Foot Locker's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2010-08-19 | 2010-07-31 | 0.03 | 0.04 | 0.01 | 33 | ||
2000-08-17 | 2000-07-31 | 0.04 | 0.05 | 0.01 | 25 | ||
1999-08-18 | 1999-07-31 | 0.03 | 0.04 | 0.01 | 33 | ||
2024-08-28 | 2024-07-31 | -0.07 | -0.05 | 0.02 | 28 | ||
1999-11-18 | 1999-10-31 | 0.09 | 0.07 | -0.02 | 22 | ||
1998-08-20 | 1998-07-31 | -0.07 | -0.09 | -0.02 | 28 | ||
1998-05-20 | 1998-04-30 | -0.02 | -0.04 | -0.02 | 100 | ||
2009-11-19 | 2009-10-31 | 0.13 | 0.1 | -0.03 | 23 |
Know Foot Locker's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Foot Locker is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Foot Locker backward and forwards among themselves. Foot Locker's institutional investor refers to the entity that pools money to purchase Foot Locker's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Geode Capital Management, Llc | 2024-09-30 | 1.9 M | American Century Companies Inc | 2024-09-30 | 1.6 M | Jacobs Levy Equity Management, Inc. | 2024-09-30 | 1.1 M | Charles Schwab Investment Management Inc | 2024-09-30 | 1.1 M | Millennium Management Llc | 2024-06-30 | 1.1 M | Northern Trust Corp | 2024-09-30 | 901 K | Towle & Co | 2024-09-30 | 740.6 K | Norges Bank | 2024-06-30 | 722.4 K | Bank Of New York Mellon Corp | 2024-06-30 | 689.5 K | Blackrock Inc | 2024-06-30 | 13.4 M | Vanguard Group Inc | 2024-09-30 | 10.3 M |
Foot Locker's market capitalization trends
The company currently falls under 'Mid-Cap' category with a market capitalization of 2.32 B.Market Cap |
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Foot Locker's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | (0.06) | 0.15 | |
| Return On Capital Employed | 0.03 | 0.28 | |
| Return On Assets | (0.05) | 0.15 | |
| Return On Equity | (0.11) | 0.21 |
Determining Foot Locker's profitability involves analyzing its financial statements and using various financial metrics to determine if Foot Locker is a good buy. For example, gross profit margin measures Foot Locker's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Foot Locker's profitability and make more informed investment decisions.
Foot Locker's Earnings Breakdown by Geography
Evaluate Foot Locker's management efficiency
Foot Locker has Return on Asset (ROA) of 0.0118 % which means that for every $100 of assets, it generated a profit of $0.0118. This is way below average. Likewise, it shows a return on total equity (ROE) of (0.1188) %, which implies that it produced no returns to current stockholders. Foot Locker's management efficiency ratios could be used to measure how well Foot Locker manages its routine affairs as well as how well it operates its assets and liabilities. Return On Tangible Assets is expected to rise to 0.15 this year. Return On Capital Employed is expected to rise to 0.28 this year. At this time, Foot Locker's Net Tangible Assets are quite stable compared to the past year. Return On Tangible Assets is expected to rise to 0.15 this year, although the value of Non Currrent Assets Other will most likely fall to about 43.7 M.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 30.68 | 17.35 | |
| Tangible Book Value Per Share | 18.29 | 15.91 | |
| Enterprise Value Over EBITDA | (27.13) | 7.20 | |
| Price Book Value Ratio | 0.96 | 3.07 | |
| Enterprise Value Multiple | (27.13) | 7.20 | |
| Price Fair Value | 0.96 | 3.07 | |
| Enterprise Value | 3.9 B | 3.3 B |
The decision-making processes within Foot Locker are key to its success in a competitive market. By evaluating these processes, we assess the stock's potential for future gains.
Beta 1.427 |
Basic technical analysis of Foot Stock
As of the 28th of November, Foot Locker shows the Standard Deviation of 3.05, variance of 9.31, and Mean Deviation of 2.27. Foot Locker technical analysis allows you to utilize historical prices and volume patterns in order to determine a pattern that computes the direction of the firm's future prices. Please confirm Foot Locker variance and value at risk to decide if Foot Locker is priced favorably, providing market reflects its regular price of 25.31 per share. Given that Foot Locker has information ratio of (0.17), we urge you to verify Foot Locker's prevailing market performance to make sure the company can sustain itself at a future point.Foot Locker's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Foot Locker insiders, such as employees or executives, is commonly permitted as long as it does not rely on Foot Locker's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Foot Locker insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Franklin Bracken over a week ago Disposition of 2846 shares by Franklin Bracken of Foot Locker at 23.6 subject to Rule 16b-3 | ||
Vesa Equity Investment S.a R.l. over three months ago Disposition of 1500 shares by Vesa Equity Investment S.a R.l. of Foot Locker at 32.9007 subject to Rule 16b-3 | ||
Tristan Walker over six months ago Acquisition by Tristan Walker of tradable shares of Foot Locker at 43.98 subject to Rule 16b-3 | ||
Dona Young over six months ago Acquisition by Dona Young of 742 shares of Foot Locker at 43.98 subject to Rule 16b-3 | ||
Giovanna Cipriano over six months ago Disposition of 6022 shares by Giovanna Cipriano of Foot Locker at 24. subject to Rule 16b-3 | ||
Dona Young over a year ago Acquisition by Dona Young of 1828 shares of Foot Locker subject to Rule 16b-3 |
Foot Locker's Outstanding Corporate Bonds
Foot Locker issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Foot Locker uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Foot bonds can be classified according to their maturity, which is the date when Foot Locker has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| US344849AA21 Corp BondUS344849AA21 | View | |
| MPLX LP 52 Corp BondUS55336VAL45 | View |
Understand Foot Locker's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Foot Locker's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | (0.09) | |||
| Market Risk Adjusted Performance | (0.27) | |||
| Mean Deviation | 2.27 | |||
| Coefficient Of Variation | (771.34) | |||
| Standard Deviation | 3.05 | |||
| Variance | 9.31 | |||
| Information Ratio | (0.17) | |||
| Jensen Alpha | (0.58) | |||
| Total Risk Alpha | (0.89) | |||
| Treynor Ratio | (0.28) | |||
| Maximum Drawdown | 13.15 | |||
| Value At Risk | (4.66) | |||
| Potential Upside | 4.66 | |||
| Skewness | (0.24) | |||
| Kurtosis | 1.08 |
| Risk Adjusted Performance | (0.09) | |||
| Market Risk Adjusted Performance | (0.27) | |||
| Mean Deviation | 2.27 | |||
| Coefficient Of Variation | (771.34) | |||
| Standard Deviation | 3.05 | |||
| Variance | 9.31 | |||
| Information Ratio | (0.17) | |||
| Jensen Alpha | (0.58) | |||
| Total Risk Alpha | (0.89) | |||
| Treynor Ratio | (0.28) | |||
| Maximum Drawdown | 13.15 | |||
| Value At Risk | (4.66) | |||
| Potential Upside | 4.66 | |||
| Skewness | (0.24) | |||
| Kurtosis | 1.08 |
Consider Foot Locker's intraday indicators
Foot Locker intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Foot Locker stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
Foot Locker Corporate Filings
F4 | 18th of November 2024 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
13A | 12th of November 2024 An amended filing to the original Schedule 13G | ViewVerify |
13A | 31st of October 2024 The form used by investors holding more than 5% of a company's stock, to report their beneficial ownership pursuant to Rule 13d-1 or Rule 13d-2 under the Securities Exchange Act of 1934 | ViewVerify |
10Q | 11th of September 2024 Quarterly performance report mandated by Securities and Exchange Commission (SEC), to be filed by publicly traded corporations | ViewVerify |
Foot Stock media impact
Far too much social signal, news, headlines, and media speculation about Foot Locker that are available to investors today. That information is available publicly through Foot media outlets and privately through word of mouth or via Foot internal channels. However, regardless of the origin, that massive amount of Foot data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Foot Locker news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Foot Locker relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Foot Locker's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Foot Locker alpha.
Foot Locker Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Foot Locker can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Foot Locker Historical Investor Sentiment
Investor biases related to Foot Locker's public news can be used to forecast risks associated with an investment in Foot. The trend in average sentiment can be used to explain how an investor holding Foot can time the market purely based on public headlines and social activities around Foot Locker. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Foot Locker's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Foot Locker and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average Foot Locker news discussions. The higher the estimate score, the more favorable the investor's outlook on Foot Locker.
Foot Locker Corporate Directors
| Maxine Clark | Independent Director | Profile | |
| Ulice Payne | Independent Director | Profile | |
| Matthew McKenna | Independent Director | Profile | |
| Dona Young | Lead Independent Director | Profile |
Check out Investing Opportunities to better understand how to build diversified portfolios, which includes a position in Foot Locker. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in bureau of economic analysis. For more information on how to buy Foot Stock please use our How to buy in Foot Stock guide.You can also try the Global Correlations module to find global opportunities by holding instruments from different markets.
Is Specialty Retail space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Foot Locker. If investors know Foot will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Foot Locker listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.78) | Earnings Share (3.88) | Revenue Per Share 86.173 | Quarterly Revenue Growth 0.019 | Return On Assets 0.0118 |
The market value of Foot Locker is measured differently than its book value, which is the value of Foot that is recorded on the company's balance sheet. Investors also form their own opinion of Foot Locker's value that differs from its market value or its book value, called intrinsic value, which is Foot Locker's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Foot Locker's market value can be influenced by many factors that don't directly affect Foot Locker's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between Foot Locker's value and its price, as these two are different measures arrived at by various means. Investors typically determine if Foot Locker is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Foot Locker's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.