Skechers USA's Earnings: A Preview

Skechers USA SKX is preparing to release its quarterly earnings on Thursday, 2025-04-24. Here's a brief overview of what investors should keep in mind before the announcement.

Analysts expect Skechers USA to report an earnings per share (EPS) of $1.17.

Skechers USA bulls will hope to hear the company announce they've not only beaten that estimate, but also to provide positive guidance, or forecasted growth, for the next quarter.

New investors should note that it is sometimes not an earnings beat or miss that most affects the price of a stock, but the guidance (or forecast).

Earnings History Snapshot

The company's EPS missed by $0.10 in the last quarter, leading to a 12.68% drop in the share price on the following day.

Here's a look at Skechers USA's past performance and the resulting price change:

Market Performance of Skechers USA's Stock

Shares of Skechers USA were trading at $48.03 as of April 22. Over the last 52-week period, shares are down 16.13%. Given that these returns are generally negative, long-term shareholders are likely unhappy going into this earnings release.

Analysts' Perspectives on Skechers USA

For investors, grasping market sentiments and expectations in the industry is vital. This analysis explores the latest insights regarding Skechers USA.

Analysts have given Skechers USA a total of 9 ratings, with the consensus rating being Buy. The average one-year price target is $73.67, indicating a potential 53.38% upside.

Analyzing Analyst Ratings Among Peers

The analysis below examines the analyst ratings and average 1-year price targets of Birkenstock Holding, Crocs and Steven Madden, three significant industry players, providing valuable insights into their relative performance expectations and market positioning.

• Analysts currently favor an Outperform trajectory for Birkenstock Holding, with an average 1-year price target of $66.4, suggesting a potential 38.25% upside.
• Analysts currently favor an Buy trajectory for Crocs, with an average 1-year price target of $130.8, suggesting a potential 172.33% upside.
• Analysts currently favor an Neutral trajectory for Steven Madden, with an average 1-year price target of $36.5, suggesting a potential 24.01% downside.

Snapshot: Peer Analysis

Within the peer analysis summary, vital metrics for Birkenstock Holding, Crocs and Steven Madden are presented, shedding light on their respective standings within the industry and offering valuable insights into their market positions and comparative performance.

Key Takeaway:

Skechers USA ranks highest in Gross Profit among its peers. It is in the middle for Revenue Growth and Return on Equity.

Delving into Skechers USA's Background

Skechers USA Inc is a lifestyle footwear company under the Skechers GO brand name. Products offered include various styles of women's shoes, men's shoes, girl's shoes, boy's shoes, performance shoes, and work shoes. Allied products offered are apparel, bags, eyewear, toys, and more. Its products are available for sale at department and specialty stores, athletic and independent retailers, boutiques, and internet retailers. The company's operating segments includes Wholesale and Direct-to-Consumer. It generates maximum revenue from the Wholesale segment.

Unraveling the Financial Story of Skechers USA

Market Capitalization: With restricted market capitalization, the company is positioned below industry averages. This reflects a smaller scale relative to peers.

Revenue Growth: Skechers USA's revenue growth over a period of 3 months has been noteworthy. As of 31 December, 2024, the company achieved a revenue growth rate of approximately 12.82%. This indicates a substantial increase in the company's top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Consumer Discretionary sector.

Net Margin: The company's net margin is below industry benchmarks, signaling potential difficulties in achieving strong profitability. With a net margin of 4.49%, the company may need to address challenges in effective cost control.

Return on Equity (ROE): Skechers USA's ROE is below industry standards, pointing towards difficulties in efficiently utilizing equity capital. With an ROE of 2.3%, the company may encounter challenges in delivering satisfactory returns for shareholders.

Return on Assets (ROA): Skechers USA's ROA lags behind industry averages, suggesting challenges in maximizing returns from its assets. With an ROA of 1.16%, the company may face hurdles in achieving optimal financial performance.

Debt Management: Skechers USA's debt-to-equity ratio is below the industry average at 0.45, reflecting a lower dependency on debt financing and a more conservative financial approach.

To track all earnings releases for Skechers USA visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.