Foot Locker has tough Q3, but does the dividend yield mean anything?

What does it all add up to? A sell-off of 2.6% for the shares. You really couldn't expect Wall Street to place a bid after such data. Then again, there's been so much indiscriminate buying this year after the March market lows that if you did expect the shares to rally, I wouldn't call you crazy, either.

Management said that cash flow is doing okay. The company is working hard to keep inventories at rational levels, and expenses as contained as possible. It's the same old story: we're in a bad economy, we're dealing with it.

Besides the quarterly numbers, the nine-month stats pretty much confirm Foot Locker's tough position. I don't see anything in the release which would compel me to invest in the company. And besides, I would have preferred to buy closer to the 52-week low than the 52-week high.

Of course, the good news for traders is that the stock might be more interesting if the price dips below $10 per share (which it was close to immediately after the report in extended trading). For most investors, I wouldn't necessarily recommend exposure to the retail sector via Foot Locker. However, I will point out one thing for consideration: even though I am bearish on the stock at the moment, it admittedly does sport an interesting yield. Those who do want to take a chance on Foot Locker will at least be paid to wait.

Disclosure: I don't own any company mentioned; positions can change without notice.