Footwear retailer, DSW Inc.’s (DSW) expansion drive has been impressive. The company yet again announced three new stores located in Livingston, NJ; Augusta, GA and Brooklyn, NY.
The store in Livingston is scheduled for Oct 8 opening whereas the other two are scheduled for Oct 9 opening. After a lull first half, the company picked up pace and announced 15 new openings since September compared with the rest of the year in which it opened just 18 outlets from Jan to Aug.
The new stores will offer a wide variety of fashionable footwear for both men and women. DSW’s store openings signify the company’s commitment toward strengthening its network with the aim to drive top-line growth.
Apart from the above-mentioned outlets, the company’s other locations include Watertown, NY; Louisville, KY; Glendale CA; Asheville, NC; Hagerstown, MD; Rogers, AR; Ingram, TX; Crofton, MD; Evansville, IN; Fort Worth, TX; Eden Prairie, MN and Plattsburgh, NY.
Meanwhile, the company is also making significant investments to strengthen its international ‘footprint’, which is evident from its deal with Town Shoes of Canada. DSW closed this acquisition on May 12 and spent $68.7 million to acquire a 49.2% stake in Town Shoes.
The Town Shoes buyout has proven to be a strategic one owing to its considerable access to the Canadian markets. With this takeover, DSW will gain an operating base in Canada which will help in popularizing its brand across the country. Interestingly, DSW has already started reaping gains from the Town Shoes acquisition as the latter opened two DSW outlets in Toronto in the beginning of August and has received positive response from customers so far.
Currently, DSW carries a Zacks Rank #2 (Buy). Other favorably ranked stocks in the retail sector worth consideration include Citi Trends, Inc. (CTRN), Express Inc. (EXPR) and Foot Locker, Inc. (FL). Citi Trends sports a Zacks Rank #1 (Strong Buy), while Express Inc. and Foot Locker carry same rank as DSW.
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