Why Foot Locker Dropped 13% Friday

Shares of Foot Locker (NYSE: FL), a leader in footwear and accessories, declined as much as 13% Friday, after the company released disappointing first-quarter results.

COVID-19's impact on Foot Locker was substantial during the first quarter. Foot Locker's first-quarter sales declined 43.4% to $1.18 billion from the prior year's $2.08 billion. The company also reported a net loss of $98 million, or $0.93 loss per share, compared with the prior year's net income of $172 million, and its gross margin declined from 33.2% to 23%.

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