Slower May Retail Sales Reverse Trend : Economy: Unseasonable weather, dissatisfaction with fashions are cited in lull after string of gains.

Retail sales slowed in May, falling victim to unseasonable weather and consumer disenchantment with the fashions at many stores.

The results announced Thursday created at least a temporary lull in the strong gains that most big retailers have enjoyed this year.

“It’s a weather problem,” said Daniel Barry, an analyst with Merrill Lynch & Co. He noted that temperatures were lower than normal in many parts of the country last month. “Merchants say the problem has been in shorts and tops and swimsuits.”

Terence McEvoy, an analyst with Janney Montgomery Scott Inc., said the lower sales reflected women’s continuing unhappiness with what’s on the rack at apparel stores. “Everyone claims fashion is better, but I’m not sure the consumer believes it,” he said.

Consumers have been dissatisfied with the clothing sold by many retailers for some time, although they did go on a buying spree before Easter.

But whether the problem was the weather or the styles, May results show that consumers remain frugal.

Still, they’re willing to buy if the price is right--J.C. Penny Co. and Sears, Roebuck & Co., which stress value in apparel selections, fared well last month.

Hard-line retailers--those selling hardware, furniture, appliances and garden equipment--were also hurt by the cooler weather, analysts said.

Several retailers said they were disappointed with their results. Allen Questrom, chairman of Federated Department Stores Inc., said business fell below his expectations, although home furnishing lines did well.

The Salomon Bros. retail index, the investment firm’s barometer of sales performance, rose 2.4% after a 3.3% gain in April and a 6.9% increase for the first quarter. In May, 1993, the index rose 3.7%.

Wal-Mart Stores Inc., the nation’s largest retailer, said sales from stores open at least a year rose 4.7% from May, 1993, while total sales were up 21%. The results were down sharply from Wal-Mart’s strong pace earlier this year, reflecting continuing problems in its Sam’s Club wholesale stores as well as the effects of the weather.

Sales from stores open at least a year, known as same-store sales, are considered the most accurate measure of a retailer’s strength. They exclude the results of newer stores, where sales tend to be high. Same-store sales also exclude results from stores closed over the past year.

Kmart Corp., showing the effects of its sluggish discount store division, said same-store sales fell 2.5%, while overall business was up 1.9%.

Sears said same-store sales advanced 8.8% and overall sales rose 7.9%.

J.C. Penny said same-store sales at its flagship stores rose 5%, while total sales, including its drugstore and catalogue operations, rose 6.8%.

May Department Stores Co. reported a 1.1% same-store sales gain and a 4.5% overall increase.

Federated said same-store sales rose 1%, while overall business rose 3.2%.

Carter Hawley Hale Stores Inc., owner of the Broadway chain, said same-store sales fell 4.2% in May. The company said total sales for the four weeks ended May 28 were $131.9 million, down 9.9% from $146.4 million a year earlier. The Los Angeles-based retailer said total sales remain affected by four stores closed as a result of the Northridge earthquake.

Dayton Hudson Corp. said same-store sales rose 3.5% while overall business gained 9.3%. The company owns department stores, the Target discount chain and the Mervyn’s clothing chain. Mervyn’s sales were below expectations, the company said.

Limited Inc. reported that same-store sales dropped 8% while overall business fell 1.9%. Gap Inc. said same-store sales rose 1%, while total sales picked up 11%.

These results are narrower than the monthly retail sales report from the government, which includes sales from supermarkets, restaurants and car dealers. Those figures will be released June 14.