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What: Shares of specialty retailer Cabela's (NYSE:CAB) fell by 14.1% during October, according to S&P Capital IQ data. The company's third-quarter results, which missed analyst estimates on all fronts, was the culprit.

So what: Cabela's reported third-quarter revenue of $926.5 million, was up 4.6% year over year, but about $45 million short of the average analyst estimate. That's a big miss, and while Cabela's total retail revenue rose 6.5% year over year driven by new stores, comparable-store sales dropped 4.2%.

Cabela's suffered from weak demand for fall apparel and footwear, and strength in other areas wasn't enough to offset this weakness. In addition, direct revenue declined by 7.9% year over year, with Cabela's blaming a shift in ammunition sales to the retail channel, softness in certain categories, and new retail stores for the decline.

Earnings also slumped during the quarter, with Cabela's reporting adjusted net income of $50.3 million, down from $58.3 million during the same period last year. That comes out to $0.71 per share, $0.02 lower than analysts were expecting.

The weak third quarter led Cabela's to slash its guidance for the full year. Revenue is expected to grow in the high-single digits, compared to previous guidance of low-double-digit growth, while non-GAAP EPS is now expected to be flat, down from previous guidance of high-single-digit to low-double-digit growth.

Now what: Cabala's stock got hammered following its weak earnings report. While the stock has recovered a portion of its October losses so far in November, the company is facing some serious headwinds. In an effort to cut costs, Cabela's announced a restructuring plan along with its third-quarter report. The company plans to reduce operating expenses as a percentage of revenue by between 75 and 150 basis points during the next three years, as well as sell unproductive assets and reduce its working capital.

For a retailer, slumping comparable-store sales is terrible news. Add a significant guidance cut, and it's no wonder that investors sent the stock tumbling in October.

Timothy Green has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.