Don't Sweat the Genesco Stock Pullback

Genesco has chart support in place

Mar 16, 2021 at 10:22 AM
facebook X logo linkedin

Specialty retailer Genesco Inc. (NYSE:GCO) stepped into the earnings confessional last week and walked away down 1.9%. Genesco's net sales for the fourth quarter of 2021 decreased by 6% to $637 million, versus $678 million in the fourth quarter of fiscal 2020. This sales decrease was driven by store closures caused by the COVID-19 pandemic, but were partially offset by digital comparable sales growth of 55%.

For fiscal 2021, Genesco’s net sales decreased 19% from last year to $1.8 billion, versus $2.2 billion in fiscal 2020. During this period, the company reported that stores were only open 76% of the days possible for the fiscal year. They did highlight a strong 74% e-commerce comparable sales growth, though.

Today, GCO is down 4% to trade at $47.21, but its 30-day moving average appears ready to contain the damage. The equity is up 185% in the last 12 months, and last week hit an annual high of $52.37.

Now looks like a good time to weigh in on GCO's next move with options. The stock's Schaeffer's Volatility Index (SVI) of 69% stands higher than just 5% of all other readings in its annual range, implying that options players are pricing in relatively low volatility expectations at the moment. 



How to collect 1 dividend check every day for LIFE

Did you know you could collect 1 dividend check every day the market is open? You could also do it starting with just $605! For me, I'm collecting 70 dividend checks every quarter…which averages around 1.1 dividend checks every business day. There's no trading behind this... no penny stocks or high-risk investments. All you do is buy and hold and you're set. There's no set up required either. If you start buying the dividend stocks I show you today... you could collect 1 dividend per day starting as early as this week. Click here for all the details.