Shoe and apparel company Steven Madden (NASDAQ:SHOO) will be reporting results tomorrow before market hours. Here’s what you need to know.
Steven Madden beat analysts’ revenue expectations by 2.4% last quarter, reporting revenues of $624.7 million, up 13% year on year. It was a satisfactory quarter for the company, with a decent beat of analysts’ adjusted operating income 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 6% year on year to $550.8 million, slowing from the 10.4% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.53 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 1.3% on average.
Looking at Steven Madden’s peers in the footwear segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Deckers delivered year-on-year revenue growth of 17.1%, beating analysts’ expectations by 5.5%, and Crocs reported revenues up 3.1%, topping estimates by 2.8%. Deckers traded down 20.3% following the results while Crocs was up 22.1%.
Read our full analysis of Deckers’s results here and Crocs’s results here.
Stocks, especially growth stocks where cash flows further in the future are more important to the story, have had a good 2024. An economic soft landing (so far), the start of the Fed's rate cutting campaign, and the election of Donald Trump were positives for the market, and while some of the footwear stocks have shown solid performance, the group has generally underpeformed, with share prices down 3.3% on average over the last month. Steven Madden is down 6.5% during the same time and is heading into earnings with an average analyst price target of $42.33 (compared to the current share price of $38.53).
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