Men’s Wearhouse & Jos. A Bank
The suit wars continue, now with Men’s Wearhouse offering to buy Jos. A. Bank. Men’s Wearhouse turned the tables on Jos. A Bank with a $1.5 billion proposal to acquire its smaller rival that’s been trying to take it over. The combo would create the fourth largest men’s apparel retailer in the U.S. Shares of the chains surged on the news, Men’s Wearhouse up 7.5% to $50.60. Jos. A. Bank rose 11% to $56.29
Tiffany shines in today’s trading session after reporting earnings way above estimates. The jewelry maker’s solid quarter was driven by strong sales in China. Tiffany also upped its full-year forecast. Shares jumped more than 8% to $88.02.
It was a different story at DSW. Shares tumbled after the footwear retailer reported improved sales for its latest quarter, but they were below analysts expectations. Investors were also disappointed by DSW’s modest outlook. The stock dropped almost 5% to $44.95.
A big jump in fourth-quarter profits at Hormel, up 19% thanks to its recent purchase of Skippy peanut butter, a boost in turkey sales and in refrigerated foods. The CEO said despite rising commodity costs, the food producer will continue to deliver strong results. The stock popped nearly 6% to $44.95.
Workaday, a provider of web-based human resources software, is forecasting revenue well above expectations. The company reported a big jump in quarterly sales, helped by strong growth in subscriptions. Workaday competes with Salesforce and Oracle in the fast-growing cloud software market. That sent shares up more than 12.5% to $82.60.
Barnes and Noble
Barnes and Noble reported an 8% drop in quarterly revenue as sales fell across all of its businesses, including its stores, Nook e-readers and e-books. The book seller also cut costs in the most recent quarter. Today’s closing price reflected those fears, the stock dropped about 6% to $15.45.
Investors have been pressuring the struggling teen retailer Aeropostale to sell itself, but the company isn’t interested. The clothing maker responded by adopting a shareholder’s rights plan in case a stockholder buys 10% of the company, to protect itself from a buyout. The stock closed nearly 2% lower to $10.03.
Declining sales in its Boston Proper catalog business dragged Chico’s down to a third quarter loss, but the clothing retailer announced a quarterly dividend boost. That took some of the stink out of the loss. Shares rose 4% to $18.65.