Skechers (SKX) closed at $47.63 in the latest trading session, marking a +1.97% move from the prior day. The stock exceeded the S&P 500, which registered a gain of 0.13% for the day. On the other hand, the Dow registered a loss of 1.33%, and the technology-centric Nasdaq decreased by 0.13%.
Heading into today, shares of the shoe company had lost 18.72% over the past month, lagging the Consumer Discretionary sector's loss of 7.24% and the S&P 500's loss of 6.3% in that time.
The upcoming earnings release of Skechers will be of great interest to investors. The company's earnings report is expected on April 24, 2025. The company is predicted to post an EPS of $1.18, indicating a 11.28% decline compared to the equivalent quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $2.44 billion, indicating an 8.31% increase compared to the same quarter of the previous year.
For the full year, the Zacks Consensus Estimates project earnings of $4.42 per share and a revenue of $9.72 billion, demonstrating changes of +6.25% and +8.42%, respectively, from the preceding year.
Investors might also notice recent changes to analyst estimates for Skechers. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 1.28% decrease. Skechers is currently a Zacks Rank #3 (Hold).
In terms of valuation, Skechers is currently trading at a Forward P/E ratio of 10.57. This indicates a premium in contrast to its industry's Forward P/E of 9.54.
It's also important to note that SKX currently trades at a PEG ratio of 0.75. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The average PEG ratio for the Shoes and Retail Apparel industry stood at 0.83 at the close of the market yesterday.
The Shoes and Retail Apparel industry is part of the Consumer Discretionary sector. This industry, currently bearing a Zacks Industry Rank of 226, finds itself in the bottom 9% echelons of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Skechers U.S.A., Inc. (SKX): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
