Same as EPS that has experienced a growth of 39% on 2014 and is anticipated to continue a positive path for a 2016 horizon, sales are expected to increase by 4% for the current year. The company counts also with a significant net margin of 6.48%, better than its peers. In addition to its market leadership, it is clearly an attractive target for investors because the stock is undervalued with a P/E ratio of 13.1 for 2014.
Technically speaking, the stock follows a well-oriented tendency in a long term, supported by increasing weekly moving averages. Having filled during last trading sessions a previous breakaway gap, the stock should be ready to come back to an upward trend thanks to the support at USD 36.6 and the 100-day moving average.
Investors could take a long position above USD 36.30, this with the objective to reach the USD 41.30 target. The trend is going to be reinforced when prices will break the short term resistance at USD 38.76. A stop loss will be placed below USD 36.30.
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Foot Locker, Inc. is a retailer of shoes and apparel. The Company operates through three segments: North America, Europe, Middle East, and Africa (EMEA), and Asia Pacific. The Company's portfolio of brands includes Foot Locker, Kids Foot Locker, Champs Sports, WSS, and atmos. It uses its omni-channel capabilities to bridge the digital world and physical stores, including order-in-store, buy online and pickup-in-store, and buy online and ship-from-store, as well as e-commerce. It operates websites and mobile apps aligned with the brand names of its store banners. The Company operates approximately 2,523 stores in 26 countries across North America, Europe, Australia, New Zealand, and Asia, and a franchised store presence in the Middle East and Asia. The Kids Foot Locker offers athletic footwear, apparel, and accessories for children. Champs Sports is a primarily mall-based specialty athletic footwear and apparel retailer. atmos is a digitally led, brand featuring sneakers and apparel.