While Lowe's is streamlining its business, it "still has to address its status as a second-fiddle retailer."
The retailer plans to focus on the "healthy core" of Gap specialty stores while exiting "those that do not fit the future vision quickly.”
The retailer has been one of Wall Street's hottest stocks this year but investors may be jittery over promotional spending for the holiday season.
The company benefited from value deals and increased menu prices as it undergoes the largest construction project in its history.
The warning related to IT systems that "support the company’s financial reporting processes" drove Costco's stock down 2.4%.
The discount retailer's shares fell more than 15% after its earnings came in one cent below analysts' estimates.
Same-store sales rose only 0.5% but the company remains confident it will deliver stronger growth in the second half of 2018.
The retailer benefited in Q2 from the closures of rival department stores and its efforts to downsize its own locations.
U.S. same-store sales rose 4.5% — the best growth in more than a decade — amid a particularly strong performance in Walmart's grocery business.
CEO Jeff Gennette says the retailer's strategic initiatives are starting to gain traction.
A 9.5% surge in same-store prescription volume in Q2 helped offset a 1% decline in front-end same-store sales.
The 3.3% increase in Q2 beat analysts' estimates as an increase in average check helped offset 1.8% fewer comparable restaurant transactions.
