This morning, Foot Locker (FL) announced that its first-quarter earnings would come in below analyst forecasts thanks to delayed tax refunds. And the initial reaction was exactly what you would expect: Foot Locker’s share fell more than 3% in pre-open trading. Yet by the time my Morning Movers post was published, its shares were up over 3%, and those gains have continued into the open this morning. What gives?
A note from Susquehanna’s Sam Poser and team published this morning sheds some light: