Retail stocks slump as Victoria's Secret owner reports dismal sales

Retailers were caught in a widespread selloff on Thursday after L Brands (NYSE:LB), the owner of Victoria’s Secret and Bath & Body Works, reported weaker sales than expected.

The report from L Brands highlighted worries over declining sales and store closures across the retail industry. Shares of L Brands tumbled 13 percent, and other retailers including Sears Holdings (NASDAQ:SHLD) were dragged lower in recent trading.

L Brands said Thursday that net sales in June fell 6% compared with last year during the same period, and same-store sales fell 9%, which is worse than industry analysts had expected.

It was part of a larger route in retail, the worst performing sector on the Standard & Poor's 500 index. Consumer discretionary stocks were down 0.6% on Thursday afternoon, and retailers accounted for six of the 10 top decliners on the S&P 500.

Shares in Sears fell more than 8.3%, and Urban Outfitters (NASDAQ:URBN) shares slid 5.7%.Kohl’s (NYSE:KSS), J.C. Penney (NYSE:JCP) and Macy’s (NYSE:M) each saw declines of 2% or more.

The Associated Press contributed to this report.

Ticker	Security	Last	Change	Change %
LB	LANDBRIDGE CO. LLC	30.13	+0.58	+1.96%
SHLD	GLOBAL X FDS DEFENSE TECH ETF USD	34.93	+0.38	+1.10%
M	MACY'S INC.	16.57	+0.12	+0.70%
JCP	NO DATA AVAILABLE	-	-	-
KSS	KOHL'S CORP.	20.51	+0.46	+2.29%