Dick’s Stock Drops — Sales Decline, Plan to Remove Hunting Gear
Last year Dick’s stopped selling ARs and raised the long gun purchase age to 21. Now, in 2019, Dick’s is removing hunting gear from 125 of its stores, 17% of the total.
Dick’s Sporting Goods (NYSE: DKS), a company that has sided with anti-gun forces, is hurting. The DKS stock price dropped 11% yesterday on news that overall sales have declined significantly. Moreover, Dick’s leadership continues to follow a gun-averse path, announcing that hunting gear, including firearms, will be taken out of roughly 125 stores. That’s a major shift in focus for Dick’s. After all, it is estimated that there are over 11.5 million active hunters in the United States. Getting rid of hunting gear in 125 stores alienates a significant part of Dick’s customer base.
In 2018 Dick’s took major steps in response to the gun-control lobby. Dick’s stopped selling AR-platform rifles, and imposed a minimum age of 21 years to purchase ANY and all firearms, not just handguns.
The Shooting Wire provided this report:
Dick’s Sporting Goods to Remove Firearms From 125 More Stores
Continuing to pursue the tightened gun policies that initially drove its stock down, Dick’s Sporting Goods (NYSE: DKS) has announced it will remove hunting gear from about 125 stores. The change, expected to begin August 1, will affect about 17 percent of the company’s stores. The announcement, coupled with continuing declines in same-store sales since 2017, is being credited with a nearly 11 percent decline in stock price yesterday. Dick’s closed at $34.45 on the NYSE, down $4.28/share.
According to the Wall Street Journal, Ed Stack, Dick’s CEO and major shareholder, stated that hunting gear (and rifles) may be removed from even more stores (beyond the 125) next year. Notably, Stack is clearly siding with gun-control forces. The Shooting Wire observed: “Stack was one of four CEOs to sign a letter supporting a gun control bill recently passed in the U.S. House of Representatives. He has also joined the business council of Everytown, the [Bloomberg group] that advocates for gun control.”
Their getting rid of all their AR-15s and cancelling all outstanding orders for them a few years ago worked out so well that they are continuing the push. Actually, that’s good news because at this rate they will be out of business in a few more years. That should send a strong message to other business’ thinking along the same lines.
I visited the US some months ago, for the first time in years.
Had a look at the gun dept in Dick’s. Nothing to get excited about – no staff member attending the dept. Eventually a youngster turned up. Couldn’t assist – didn’t know where anything was. Not a serious retailer.
Went to Cabelo’s.
are they now competing with REI?
It’s very simple, if you believe in the second amendment, don’t even go close to their stores !!!!
Thank you dick’s!
For staying out of the way of real gun stores who provide very good service to hunters and shooters….
Good luck making the millions you need to keep the doors open selling baseballs and chinese made clothing!
I’m sure your share holders wont mind as Dick’s share price continues it’s downward slide.