Why Children's Place Stock Was Sliding This Week
Children's apparel retailer The Children's Place (NASDAQ: PLCE) was one of several retail stocks taking a dive this week after Walmart (NYSE: WMT) slashed its earnings for the quarter and the full year, citing a wide range of challenges.
Since Walmart is the biggest retailer in the country (and the world), investors interpreted its update as a headwind for the broader retail sector, especially discretionary retailers, as Walmart noted headwinds in general merchandise, including apparel. Given its mention of apparel, it's not surprising that Children's Place stock fell as both it and Walmart are popular destinations for children's clothes.
According to data from S&P Global Market Intelligence, Children's Place stock was down 5.6% as of Thursday afternoon. On Tuesday, after the Walmart news came out, the stock dropped 9.5%.
Source Fool.com
