Dick's Announces Two Store Openings

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Dick's Announces Two Store Openings By Zacks Equity Research | Zacks  –  Tue, Jul 30, 2013 5:00 PM EDT
RELATED QUOTES Symbol Price Change DKS 46.33 -0.1600 SPLS 14.20 +0.13 BGFV 17.81 -0.52 ITOCY 24.47 +0.29

northface Recently, full-line sporting goods retailer Dick's Sporting Goods Inc. ( DKS ) took its store expansion plan forward with the declaration of two new stores in Colonial Heights, VA and Portage, MI. The celebration to mark the store openings will commence on Aug 2 and extend over the weekend.

Located at the new Southpark Mall – 324 Southpark Circle – the store will be the company’s 25th outlet in the state of Virginia and 526th store across the United States. The second store located at Portage is the company’s 21st store in Michigan and 527th in the country. Both the store offerings will include over 40 suitable in-store services carried out by Dick's certified PROS in Golf, Bike, Hunting, Fishing, Team Sports and more.

Over the weekend, Dick’s Sporting will present an assortment of giveaways to consumers including free Mystery Gift Cards on Friday and Saturday, a free The North Face FLASHDRY T-shirt on Saturday and a Scratch & Win card on Sunday for the first 100 people in line.

In its last earnings release, Dick’s Sporting set forth its plans to open 40 new namesake stores and relocate 1 of them during fiscal 2013.

In the long term, the company expects to open more than 400 stores to meet its targeted total store count of about 1,100 in the United States.

We believe Dick's Sporting continues to progress well with its growth initiatives, which include expanding store base and incorporating technological advancements to better serve its patrons. The company leverages an extensive network of stores to effectively penetrate into its target markets, which in turn, enable the company to generate healthy sales and gain a competitive edge.

Apart from expanding its store base, Dick's Sporting is focusing on customer needs, in order to generate opportunities that will increase sales. In order to make the shopping experience a convenient one, the company has introduced a new mobile application for iPhones and Android Smartphones that enable customers to locate Dick's Sporting stores in any particular area and buy goods directly, using the application.

We believe the company’s strategic measures of consolidating its store base and the use of technology to provide better services will enhance its relationship with present customers and would help in attracting new customers and effectively promote products.

Other Stocks to Consider

Dick’s Sporting currently carries a Zacks Rank #3 (Hold). Other stocks in the retail sector worth considering include ITOCHU Corporation ( ITOCY ), Staples, Inc. ( SPLS ) and Big 5 Sporting Goods Corp . ( BGFV ). While ITOCHU Corporation carries a Zacks Rank #1 (Strong Buy), Big 5 Sporting and Staples carry a Zacks Rank #2 (Buy).

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