Steven Madden's (SHOO) Q3 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 third-quarter 2023 earnings on Nov 8. The Zacks Consensus Estimate of $551.1 million for quarterly revenues suggests a decrease of about 1% from the prior-year quarter’s tally.
The consensus estimate for quarterly earnings has been stable at 87 cents per share in the past 30 days. The consensus mark indicates a rise of 10.1% from 79 cents a share earned in the year-earlier quarter.
This fashion-forward footwear, apparel and accessories dealer has delivered a negative earnings surprise of 1.5%, 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 in the quarter under review.
On its last quarter’s earnings call, management cited that consumers have been pulling back on discretionary spending, and wholesale customers have been pulling back on orders on prioritizing inventory control. These are likely to have hurt the company’s wholesale sales. We note that the Zacks Consensus Estimate for third-quarter sales for the wholesale business is pegged at $408.1 million, suggesting a decrease of 6.1% 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 2.
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:
Crocs CROX currently has an Earnings ESP of +0.88% and a Zacks Rank of 3. You can see the complete list of today’s Zacks #1 Rank stocks here.
The company is likely to register top and bottom-line growth when it reports third-quarter 2023 numbers. The Zacks Consensus Estimate for CROX’s quarterly earnings per share of $3.09 suggests an increase of 4% from the year-ago quarter’s levels.
Crocs has a trailing four-quarter earnings surprise of 19.9%, on average. The consensus estimate for CROX’s quarterly revenues is pegged at $1.03 billion, indicating a rise of 4.3% from the figure reported in the prior-year quarter.
Build-A-Bear Workshop BBW currently has an Earnings ESP of +0.66% and a Zacks Rank of 1. The Zacks Consensus Estimate for third-quarter fiscal 2023 earnings per share is pegged at 51 cents, flat year over year.
Build-A-Bear Workshop’s top line is expected to increase year over year. The consensus estimate for quarterly revenues is pegged at $107.6 million, which indicates an increase of 3% from the figure reported in the prior-year quarter. BBW has a trailing four-quarter earnings surprise of 21.6%, on average.
Church & Dwight Co. CHD has an Earnings ESP of +2.21% and a Zacks Rank of 3. The company is slated to witness top-line growth when it reports third-quarter 2023 results. The Zacks Consensus Estimate for CHD’s quarterly revenues is pegged at $1.43 billion, which suggests growth of 8.7% from the figure reported in the prior-year quarter.
Although the consensus estimate for Church & Dwight’s quarterly earnings has moved up by a penny over the past 30 days to 68 cents per share, the figure suggests a decline of 10.5% from the year-ago quarter’s reported number. CHD delivered an earnings surprise of 12.1%, on average, in the trailing four quarters.
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Church & Dwight Co., Inc. (CHD) : Free Stock Analysis Report
Crocs, Inc. (CROX) : Free Stock Analysis Report
Build-A-Bear Workshop, Inc. (BBW) : Free Stock Analysis Report
Steven Madden, Ltd. (SHOO) : Free Stock Analysis Report
