Skechers USA Inc. (NYSE: SKX) released its second-quarter financial results after the markets closed on Thursday. It didn’t help the company that analysts piled on, sending shares down even further.
The company said that it had $0.29 in EPS and $1.13 billion in revenue, compared with consensus estimates that called for $0.40 in EPS and revenue of $1.13 billion. In the same period of last year, Sketchers said it had EPS of $0.38 on $1.03 billion.
During the most recent quarter, sales grew 10.6% as a result of a 24.9% increase in the international wholesale business and 12.8% increase in its global retail business.
Second-quarter same-store sales in company-owned stores worldwide increased 4.0%, including 2.2% in the United States and 11.3% internationally.
Looking ahead to the third quarter, the company expects to see EPS in the range of $0.50 to $0.55 and revenues between $1.2 billion and $1.225 billion. The consensus estimates call for $0.68 in EPS and $1.26 billion in revenue.
Here’s what analysts had to say after the fact:
- Wedbush has a Neutral rating but lowered its price target to $28 from $33.
- Buckingham Research has a Buy rating but lowered its target to $31 from $42.
- Susquehanna Bancshares has a Neutral rating.
- Monness Crespi & Hardt has a Buy rating but lowered its target to $32 from $45.
- UBS Group downgraded the stock to Neutral from Positive.
- Wells Fargo downgraded it to Market Perform from Outperform with a $36 target.
Shares of Skechers were last seen down about 26% at $24.45, with a consensus price target of $42.10 and a 52-week trading range of $23.80 to $43.08.
24/7 Wall St.Get Ready To Retire (Sponsored)
Start by taking a quick retirement quiz from SmartAsset that will match you with up to 3 financial advisors that serve your area and beyond in 5 minutes, or less.
Each advisor has been vetted by SmartAsset and is held to a fiduciary standard to act in your best interests.
Here’s how it works:
1. Answer SmartAsset advisor match quiz
2. Review your pre-screened matches at your leisure. Check out the advisors’ profiles.
3. Speak with advisors at no cost to you. Have an introductory call on the phone or introduction in person and choose whom to work with in the future
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
Our expert who first called NVIDIA in 2009 is predicting 2025 will see a historic AI breakthrough.
You can follow him investing $500,000 of his own money on our top AI stocks for free.