The consumer sector has significant news coming out this morning; and shares show mixed directions. Lowe's Companies, Inc. (LOW) is down 3%, even after posting better-than-expected 2010 Q4 results. The company posted EPS of $0.21, ahead of the analyst consensus of $0.18 per share on Thomson Reuters. Sales were $10.5 bln, matching the Street view. For Q1, the company expects sales to increase about 2% and EPS in the range of $0.34 to $0.38 per share. The Street is at a 1% sales increase and EPS of $0.38. For FY 2011, the company expects sales to increase about 5%, including a 53rd week, and EPS is seen in the range of $1.60 to $1.72 per share. The Street view is a 3% sales increase and EPS of $1.66 per share. Chico's FAS, Inc. (CHS) shares are also down 3%, hit by lackluster quarterly results. The retailer reported Q4 EPS of $0.12 compared to $0.10 a year earlier and a penny shy of the Thomson Reuters mean analyst estimate for $0.13. Sales increased 9% to $475.0 million from $435.7 million in last year's Q4, topping the Street view for $473.2 million. Consolidated comparable store sales for the current quarter increased 1.1%. The company is targeting 2011 net sales to increase at a low teen percentage, largely from the net addition of 100 to 110 stores by the end of the year. Chico's Board of Directors approved a quarterly dividend of $0.05; an increase of 25% over the prior quarterly dividend of $0.04 per common share. The new quarterly dividend of $0.05 for 2011 Q1 will be payable on March 28. Tim Hortons Inc. (THI) fell 2%, even after the Canadian coffee giant approved a 31% increase in the quarterly dividend to C$0.17 per common share, within its targeted payout range of 30% to 35%. The company also announced that it has obtained regulatory approval from the Toronto Stock Exchange (TSX) to commence a new share repurchase program for up to $445 million in common shares, not to exceed the regulatory maximum of 14,881,870 shares, representing 10% of the company's public float as of Feb. 17.
