U.S. stock markets were trading in positive territory on Tuesday, ahead of positive economic data from a report from the New York-based Conference Board, which showed that consumer confidence rose in August to the highest level since October 2000.
Shares of DSW Inc. (DSW, Financial) jumped more than 20% on Tuesday morning after the company posted second-quarter earnings per share of 63 cents on revenue of $795.27 million, reflecting 16.4% year-over-over growth. It beat earnings estimates by 17 cents and revenue estimates by $105.9 million.
Further, comparable sales rose 9.7%, and reported gross profit, as a percent of sales, increased by 280 basis points, driven by favorable merchandise margin and occupancy leverage. Moreover, the board of directors declared a quarterly cash dividend of 25 cents per share.
Roger Rawlins, the company's CEO, said, "... With our updated earnings outlook, we look forward to sales reaching $3 billion for the first time in DSW's history."
Looking ahead the next quarter, the company now expects revenue to increase by 6-9% and adjusted earnings per share between $1.60 and $1.75.
Gainers
• Incyte Corp. (INCY, Financial)
• Xilinx Inc. (XLNX, Financial)
• Estee Lauder Companies Inc. (EL, Financial)
• Nordstrom Inc. (JWN, Financial)
Losers
• Best Buy Co Inc. (BBY, Financial)
• Campbell Soup Co.”‹ (CPB, Financial)
• Foot Locker Inc. (FL, Financial)
• NVIDIA Corp. (NVDA, Financial)
Global markets
The main European stock markets traded in the green. The U.K.'s FTSE 100 gained 0.69%, France's CAC 40 jumped 0.39%, Germany's Dax rose 0.11% and Spain's Ibex 35 retreated 0.28%.
In Asia, Japan's Nikkei 225 advanced 0.06%, India’s BSE Sensex jumped 0.52%, Hong Kong's Hang Seng gained 0.28% and China's Shanghai Composite fell 0.10%.
Disclosure: The author holds no positions in any stocks mentioned.
