Why The Container Store Stock Rallied While Other Retailers Fell Hard
Shares of The Container Store (NYSE: TCS), a retailer with a focus on storage and closet items, rose as much as 12.5% in early trading on Wednesday. The big news was the company's fiscal fourth quarter 2021 earnings release, which hit the market after the close Tuesday. While the stock gave back almost half of that gain to end the session up by 6.8%, the broader market closed the day deep in the red, with retailers particularly hard hit. So that gain was still pretty impressive, relatively speaking.
In the fourth quarter of its fiscal 2021, which ended April 2, The Container Store's sales totaled $305.5 million, down slightly compared to the prior-year quarter. That comparison, however, isn't clean, because its fiscal 2020 Q4 included an extra (fourteenth) week. Notably, sales in the quarter were up 26.6% from fiscal 2019's (13-week) fourth quarter.
For the full year, meanwhile, the retailer's sales reached a new record of $1.1 billion, 10.5% above the fiscal 2020 tally and 19.5% higher than in 2019. All in, it looks like The Container Store is still in growth mode.
Source Fool.com
