#7 - Foot Locker (NYSE:FL)
Foot Locker (FL)
P/E Ratio: 14.98
Dividend Yield: 5.54%
You might not consider Foot Locker (NYSE: FL) to be a consumer staple stock. But the recent trend towards athleisure is changing the market. Erinn Murphy, an analyst with Piper Jaffray has termed shoe brands as “social currency”. And it’s a currency that’s growing with a key female demographic.
But that’s not to push aside the teenage audience. Piper Jaffray conducted a 2019 survey that says the average teenager owns eight pairs of sneakers. And 30% of those teens purchase a new pair every month. That leads one to believe that even in a recession, a new pair of kicks may remain an essential product.
The company’s stock appears to be slightly undervalued, and analysts give it a price target of $34.37 which would be a gain of nearly 20%. And the company pays out a dividend that has grown for the last nine years and appears very safe with a payout ratio that is in the low 30% range.
About Foot Locker
Foot Locker, Inc, through its subsidiaries, operates as a footwear and apparel retailer in North America, Europe, Australia, New Zealand, Asia, and the Middle East. Its brand portfolio includes Foot Locker, a brand comprising sneakers and apparel; Kids Foot Locker, which offers athletic footwear, apparel, and accessories for children; and Champs Sports that operates as a mall-based specialty athletic footwear and apparel retailer.
Read More - Current Price
- $24.48
- Consensus Rating
- Hold
- Ratings Breakdown
- 5 Buy Ratings, 8 Hold Ratings, 2 Sell Ratings.
- Consensus Price Target
- $26.93 (10.0% Upside)
