Has another retailer caught the early summer bug? Shares in sportswear seller JD Sports (JD.) fell 7 per cent in early trading after its latest trading statement cited margin pressure and some bad timing effects on its like-for-like (LFL) sales. The market had been hoping for an upgrade to comparable sales: instead the company said calendar differences meant LFL sales comparisons would not be "truly meaningful" until the end of the first half.
It also cited "margin pressure in achieving the sales growth", which fed the sector's bears. Still, overall performance is in line with market expectations, with interim results due mid-September. 'In line' isn't enough for this market darling, though: earnings upgrades have driven a consistent re-rating in the group's forward price-to-earnings ratio over the past five years.
