URBN - Gap slides to 52-week low and sends jitters across mall stocks

The mall sector fell hard on Friday after Gap (NYSE:GPS -18.7%) cut its guidance for Q1 sales and cited execution challenges with the Old Navy business. Gap (GPS) now sees Q1 sales falling at a low- to mid-teens clip vs. prior guidance for mid- to high-single-digit declines. The retailer's commentary on supply chain disruption appears to rattling the sector just as much as the soft sales forecast. The retailer highlighted promotional activity, which in general has not been a major issue lately with apparel stores. Shares of Gap (GPS) carved out a new 52-week low of $11.07 early in the Friday session. Notable decliners include Citi Trends (CTRN -1.9%), American Eagle Outfitters (AEO -5.3%), Dillard's (DDS -4.0%), Macy's (M -2.3%), Nordstrom (JWN -1.7%), Children's Place (PLCE -1.0%), Abercrombie & Fitch (ANF -1.9%), Buckle (BKE -3.0%), Urban Outfitters (URBN -2.6%), Express (EXPR -1.8%), Burlington Stores (BURL -2.3%) and Guess (GES -0.8%).

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Gap slides to 52-week low and sends jitters across mall stocks