Dick’s Sporting Goods Inc. shares are trading lower on Thursday after the company reported second-quarter adjusted earnings per share of $4.38, beating the analyst consensus estimate of $4.31.

Quarterly sales of $3.65 billion (+5% year over year) outpaced the Street view of $3.62 billion.

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Telsey Advisory Group analyst Joseph Feldman maintains an Outperform rating on Dick’s Sporting Goods, with a $255 price forecast.

Quarter In Detail

Comparable sales grew 5% in the quarter under review, compared with 4.5% in the same period of 2024.

“Our Q2 comps increased 5.0%, with growth in average ticket and transactions, and we drove second quarter gross margin expansion,” said president and CEO Lauren Hobart.

Gross profit in the quarter under review totaled $1.351 billion, higher than $1.275 billion in the year-ago period. Quarterly gross margin expanded to 37.06% from 36.73% in the year-ago period.

As of August 2, 2025, the company reported operating 15 combo stores. It operated 30 Golf Galaxy Performance Centers, including six new openings in fiscal 2025, three of which were conversions of former Golf Galaxy stores.

Dick’s exited the quarter with cash and equivalents worth $1.231 billion.

Foot Locker Deal Closes On September 8

On May 15, 2025, the company announced a definitive merger agreement to acquire Foot Locker, Inc. ( FL ) , valuing the deal at about $2.4 billion in equity and $2.5 billion in enterprise value.

Foot Locker ( FL ) shareholders can choose either $24.00 in cash or 0.1168 shares of DICK’S Sporting Goods common stock for each Foot Locker ( FL ) share.

The merger has already been approved by Foot Locker ( FL ) shareholders and cleared by regulators. Closing is expected on September 8, 2025.

Dividend

The firm declared a quarterly dividend of $1.2125 per share, which is payable in cash on September 26, 2025.

FY25 Outlook

The company expects comparable sales to grow between 2.0% and 3.5%.

Dick’s Sporting Goods raised its GAAP EPS guidance to a range of $13.90–$14.50 from the prior $13.80–$14.40, compared with the analyst estimate of $14.28.

The company also increased its sales outlook to $13.75 billion–$13.95 billion, up from $13.60 billion–$13.90 billion, versus the Street estimate of $13.98 billion.

Price Action: DKS shares are trading lower by 1.33% to $223 premarket at last check on Thursday.

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