Why Children's Place Stock Was Falling This Morning
Shares of The Children's Place (NASDAQ: PLCE) were trading down 10% as of 10:47 a.m. ET on Monday. The fourth quarter turned out to be more challenging than management expected. The Children's Place now expects to report a loss in the range of $52 million to $57 million.
Year to date, the stock is still up 19%, and there could be more upside despite the bad news today.
Excluding higher consumer prices as a result of cost inflation, retail sales across the industry were down and below expectations in November and December of 2022. On top of weak retail spending, Children's Place faced the highest cotton costs in a decade, which is the company's largest input cost.
Source Fool.com
