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Shoe Carnival (SCVL) Reports Earnings Tomorrow: What To Expect

SCVL Cover Image

Footwear retailer Shoe Carnival (NASDAQ: SCVL) will be reporting earnings this Thursday before market open. Here’s what investors should know.

Shoe Carnival missed analysts’ revenue expectations by 1.7% last quarter, reporting revenues of $277.7 million, down 7.5% year on year. It was a very strong quarter for the company, with a beat of analysts’ EPS estimates and an impressive beat of analysts’ EBITDA estimates.

Is Shoe Carnival a buy or sell going into earnings? Read our full analysis here, it’s free.

This quarter, analysts are expecting Shoe Carnival’s revenue to decline 5.6% year on year to $314.1 million, a reversal from the 12.9% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.61 per share.

Shoe Carnival Total Revenue

The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Shoe Carnival has missed Wall Street’s revenue estimates six times over the last two years.

Looking at Shoe Carnival’s peers in the apparel and footwear retail segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Boot Barn delivered year-on-year revenue growth of 19.1%, beating analysts’ expectations by 1.5%, and Foot Locker reported a revenue decline of 2.3%, falling short of estimates by 0.6%. Boot Barn’s stock price was unchanged after the resultswhile Foot Locker was down 5.4%.

Read our full analysis of Boot Barn’s results here and Foot Locker’s results here.

There has been positive sentiment among investors in the apparel and footwear retail segment, with share prices up 6.3% on average over the last month. Shoe Carnival is up 4.5% during the same time and is heading into earnings with an average analyst price target of $21 (compared to the current share price of $21.48).

When a company has more cash than it knows what to do with, buying back its own shares can make a lot of sense–as long as the price is right. Luckily, we’ve found one, a low-priced stock that is gushing free cash flow AND buying back shares. Click here to claim your Special Free Report on a fallen angel growth story that is already recovering from a setback.

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