Mall-based retailers reported dismal earnings last week, reminding investors of the sector’s fundamental problems
By Elizabeth Winkler | The Wall Street Journal
Retailers’ earnings season has gone from bad to worse. The bleeding intensified last week, with shares of Abercrombie & Fitch plummeting 26% on Wednesday, the biggest percentage decline since the company went public. PVH Corp., owner of brands including Van Heusen, Tommy Hilfilger, and Calvin Klein, dropped 10% that day, too. On Thursday, women’s wear chain J.Jill was down a jaw-dropping 53% and on Friday, Gap Inc. slid 9%.
It is hard to miss what all of these retailers have in common: They are mall-based.