Stoke surges in Foot Locker shares amid speculation of potential acquisition
Foot Locker's shares are soaring high!
It's all thanks to the juicy rumor that Dick's Sporting Goods is in talks to swallow Foot Locker for a cool $2.4 billion.1 The Wall Street Journal dropped this bombshell, hinting that a deal could be finalized by this Thursday.
The purported price of $24 per share, if true, would represent an 86% premium over Wednesday's closing price of just under $13, and a price last seen in late 2023. Needless to say, Foot Locker's stock has taken a hits this year, losing nearly 40% of its value.
Analysts' average price target for Foot Locker hovers below $19, according to Visible Alpha data. However, a few analysts have higher targets on the shares, making this acquisition expensive but potentially worth it for Dick's.
Unfortunately, Dick's Sporting Goods' shares have taken a hit in 2025, with a staggering 8% drop up to Wednesday's closing. They're tumbling even more in after-hours trading.
Foot Locker is set to unveil its quarterly financial results on May 29, while Dick's will lay out its own the day before.2
Now, here's a bit of insider knowledge: Dick's Sporting Goods is currently the biggest sports retail chain in the U.S., boasting over 700 locations.3 Post-acquisition, their revenue is slated to exceed $21 billion for FY24. As for Foot Locker, they operate over 2,000 stores across 40+ countries, with a massive workforce of over 46,000 employees. Unfortunately, Foot Locker has been grappling with financial troubles, including a 6% revenue decline year-over-year and multiple store closures. The acquisition news comes on the heels of Foot Locker's stock surge of over 82%.
Stay tuned for more updates on this exciting merger!
- The potential acquisition of Foot Locker by Dick's Sporting Goods could lead to a shift in the crypto world, as investors might start discussing trading tokens that represent shares of the combined company, potentially influencing the overall finance and business landscape.
- The rumored $24 per share price for Foot Locker, if confirmed, could attract investors looking for opportunities in the stock-market, particularly those who follow the trading of tokens in the digital asset space.
- With Foot Locker's financial troubles and Dick's Sporting Goods' current market position, the proposed acquisition could open new avenues for investing, not only in traditional stock-market but also in Initial Coin Offerings (ICOs) related to the sports retail sector.
