Shoe and apparel company Steven Madden (NASDAQ: SHOO) will be reporting results tomorrow before the bell. Here’s what to look for.
Steven Madden beat analysts’ revenue expectations by 5.7% last quarter, reporting revenues of $582.3 million, up 12% year on year. It was a slower quarter for the company, with full-year EPS guidance missing analysts’ expectations and a miss of analysts’ EPS estimates.
Is Steven Madden a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Steven Madden’s revenue to grow 1.2% year on year to $559.1 million, slowing from the 19.1% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.46 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Steven Madden has a history of exceeding Wall Street’s expectations, beating revenue estimates every single time over the past two years by 2% on average.
Looking at Steven Madden’s peers in the consumer discretionary segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Skechers delivered year-on-year revenue growth of 7.1%, missing analysts’ expectations by 0.9%, and Hasbro reported revenues up 17.1%, topping estimates by 14.8%. Skechers traded down 5.3% following the results while Hasbro was up 15.9%.
Read our full analysis of Skechers’s results here and Hasbro’s results here.
There has been positive sentiment among investors in the consumer discretionary segment, with share prices up 9.2% on average over the last month. Steven Madden is down 7.4% during the same time and is heading into earnings with an average analyst price target of $28.44 (compared to the current share price of $20.61).
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