Why Dicks Sporting Goods Stock Crashed Today

Dick's Sporting Goods (DKS) cratered 27% after the retailer delivered a double miss on second-quarter results and slashed full-year profit guidance. The company reported earnings of $3.53 per share against analyst expectations of $3.78, while revenue of $5.6 billion fell short of the $5.65 billion consensus. GAAP earnings tumbled 26% year-over-year.

Management's updated full-year guidance of $11 to $12 per share landed well below the Street's $14.20 estimate, signaling pressure that same-store sales growth of 4.9% won't offset. The 53% jump in total sales reflects the Foot Locker acquisition rather than organic momentum.

The sharp downward revision suggests management sees structural headwinds persisting through year-end despite positive comps. The market punished the gap between current performance and prior expectations, erasing more than a quarter of DKS market value in a single session.