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Journeys owner Genesco plummets after disappointing Wall Street

Traders work on the floor of the New York Stock Exchange.
Brendan McDermid | Reuters

Shares of specialty retailer Genesco plummeted more than 32 percent Thursday after the company's revenue and a key retail metric disappointed Wall Street. It also cut its guidance.

"Our comparable sales were challenged during the second quarter particularly in July with the emergence of a fashion rotation at Journeys," Robert Dennis, president and CEO of Genesco, which owns retailer Journeys, said in a press release.

"We experienced a sudden shift away from many of the core styles that have fueled Journeys' strong performances in recent years," he said.

The company's same store sales decreased 2 percent during the quarter. Consensus called for a 1.1 percent rise.

It posted fiscal-second-quarter earnings of 34 cents per share on revenue of $626 million. Analysts had expected 27 cents a share on revenue of $642.5 million, according to Thomson Reuters.

The company lowered its fiscal full year outlook to a range of $3.80 to $4 a share from a previously issued range of $4.80 to $4.90 per share.

Genesco's stock is down 14 percent year-to-date.

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