By Senad Karaahmetovic

Dick’s Sporting Goods (NYSE:) trimmed its adjusted EPS forecast for the full year, sending its shares tumbling.

DKS reported a Q1 adjusted earnings per share of $2.85 in comparison to $3.79 for the previous year and higher than the consensus estimate of $2.47 per shares. The period saw net sales of $2.70 Billion, up 7.5% YoY but higher than the analysts consensus estimate at $2.63 Billion.

DKS also reported inventory growth of 40.4% during the third quarter. Comparable sales fell 8.4%. Analysts expected a 10.8% decline in comparable sales.

DKS forecasts FY adjustedEPS to be between $9.15 and $11.70. That is lower than the $11.70-$13.10 range. Analysts were anticipating $12.65 per Share. The expected EPS range is $7.95 to $8.15. That’s down from the $9.96 to $11.13 forecast.

Dick’s Sporting Goods forecasts FY comparable sales decline in the range of -2% to -8%, compared to the previous outlook of -4% to 0%, while analysts were projecting -2.27%.

Kate McShane, Goldman Sachs analyst, reiterated her Buy rating with a $130 price target for DKS.

“We anticipate the stock will trade down today given the weak/reduced full-year 2022 guidance. However, we note the stock has already pulled back meaningfully since 5/4 (down 31%) and as of last nights close, is currently trading at a 6.8x P/E based on the mid point of this new guidance,” the analyst told clients shortly after the earnings report was out.

Telsey Advisory Group analyst Joseph Feldman noted that the guidance cut was “disappointing” and in line with the firm’s outlook that consumers are spending less on sporting goods and promotions.

“The stock is likely to be under pressure today (down solidly in pre-market trading) and possibly in the near term. Longer term, we continue to view Dick’s as a long-term share gainer through its unique assortment of national brands, differentiated private brands, and e-commerce, which is helped by its offmall locations that provide convenient BOPIS and curbside pickup experiences,” Feldman told clients in a note.