Steven Madden's (SHOO) Q2 Earnings Coming Up: What to Expect?
We expect Steven Madden, Ltd. SHOO to report a year-over-year decrease in its top line when it releases second-quarter 2023 earnings on Aug 2. The Zacks Consensus Estimate of $454 million for quarterly revenues suggests a decrease of about 15.1% from the prior-year quarter’s tally.
The consensus estimate for quarterly earnings has been stable at 48 cents per share in the past 30 days. Also, the consensus mark indicates a decline of 23.8% from 63 cents a share earned in the year-earlier quarter.
This fashion-forward footwear, apparel and accessories dealer has an earnings surprise of 0.7%, on average, in the trailing four quarters.
Key Factors to Note
Steven Madden’s quarterly performance is likely to have been hurt by a challenging macroeconomic landscape. The ongoing uncertainties, including inflationary pressures and currency headwinds, are expected to have been deterrents. The company has been witnessing deleveraged operating expenses for a while now. The quarterly results are likely to have also been hurt by tough year-over-year comparisons. All these headwinds are anticipated to have hurt the company’s performance during the quarter under review.
On its last quarter’s earnings call, management cited that the pull-forward of wholesale orders into the first quarter had led to a shift in revenues and earnings from the second quarter to the first quarter. SHOO had projected revenues and earnings per share in the second quarter to be modestly below the first-quarter levels.
Management had further stated that the operating environment is likely to remain turbulent in the near term. Also, consumers have been pulling back on discretionary spending, and wholesale customers have been pulling back on orders on prioritizing inventory control. We note that the Zacks Consensus Estimate for second-quarter sales for the wholesale business is pegged at $301.3 million, suggesting a decrease of 24.1% year over year.
On the positive side, Steven Madden has been making efforts with respect to brand progress, international expansion and strengthening direct-to-consumer channels. The company’s expansion into categories outside of footwear, such as handbags and apparel, is also positive. Overall, Steven Madden has been focused on creating a trend-right merchandise assortment, deepening relations with customers via marketing, enhancing the digital commerce agenda and efficiently controlling expenses.
What the Zacks Model Unveils
Our proven model doesn’t conclusively predict an earnings beat for Steven Madden this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here. You can uncover the best stocks before they’re reported with our Earnings ESP Filter.
Steven Madden, Ltd. Price and EPS Surprise
Steven Madden, Ltd. price-eps-surprise | Steven Madden, Ltd. Quote
Steven Madden currently has an Earnings ESP of 0.00% and a Zacks Rank of 3.
Stocks With the Favorable Combination
Here are some companies, which according to our model, have the right combination of elements to beat on earnings this season:
Marriott International MAR currently has an Earnings ESP of +8.44% and a Zacks Rank of 2. You can see the complete list of today’s Zacks #1 Rank stocks here.
MAR is likely to register top and bottom-line growth when it reports second-quarter 2023 results. The Zacks Consensus Estimate for its quarterly revenues is pegged at $6.1 billion, suggesting 13.3% growth from the figure reported in the prior-year quarter.
The consensus mark for Marriott’s second-quarter earnings is pegged at $2.19 per share, suggesting year-over-year growth of 21.7%. The consensus mark has remained unchanged in the past 30 days. MAR has a trailing four-quarter earnings surprise of 8%, on average.
Boyd Gaming BYD currently has an Earnings ESP of +2.92% and a Zacks Rank of 3. BYD is likely to register top and bottom-line growth when it reports second-quarter 2023 results. The Zacks Consensus Estimate for quarterly revenues is pegged at $890.7 million, suggesting 0.4% growth from the figure reported in the prior-year quarter.
The consensus mark for Boyd Gaming’s second-quarter earnings is pegged at $1.56 per share, suggesting 5.4% growth from earnings of $1.48 per share reported in the year-ago quarter. The consensus mark has remained unchanged in the past 30 days. BYD has a trailing four-quarter earnings surprise of 13.7%, on average.
lululemon athletica LULU currently has an Earnings ESP of +2.07% and a Zacks Rank of 3. LULU is likely to register top-line improvement when it reports second-quarter fiscal 2023 numbers.
The Zacks Consensus Estimate for lululemon athletica’s quarterly revenues is pegged at $2.2 billion, calling for growth of 15.8% from the prior-year quarter’s reported figure. The consensus mark for the quarterly earnings per share is $2.52, which suggests a 14.6% increase from the figure reported in the year-ago fiscal quarter. LULU has a trailing four-quarter earnings surprise of 9.9%, on average.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
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
Marriott International, Inc. (MAR) : Free Stock Analysis Report
lululemon athletica inc. (LULU) : Free Stock Analysis Report
Boyd Gaming Corporation (BYD) : Free Stock Analysis Report
Steven Madden, Ltd. (SHOO) : Free Stock Analysis Report
