New York City Costco Wholesale, Target Stores, and BJ's Wholesale Club all missed the mark in May, raising some analysts’ concerns that a retail turnaround has yet to take firm hold. Noticeably missing from the May results was Wal-Mart Stores, which recently announced that it will no longer report monthly sales data.
Target’s same-store sales fell 6.1%, a much steeper decline than the 4.3% decrease forecast by analysts. The retailer’s strongest results were in non-discretionary items such as health care and food. Sales were down in the high single-digits in apparel and low double-digits in home. Target also saw weakness in music, movies and books.
Costco's comparable sales tumbled 7%, compared with analysts' expectations of a 6.4% decline. The company said it was hurt by the stronger dollar and declining gas prices.
BJ's sales fell 6.8%, also hurt by lower gasoline prices. Analysts expected a 4.4% decline.
The news was not all bad, however. TJX Cos. said Thursday its same-store sales rose 5% in May, better than Wall Street expectations. For the 17 weeks ended May 30, total sales rose 1% to $5.84 billion, and same-store sales rose 3%.