Skechers (SKX) has recently been on Zacks.com's list of the most searched stocks. Therefore, you might want to consider some of the key factors that could influence the stock's performance in the near future.Shares of this shoe company have returned +11.3% over the past month versus the Zacks S&P 500 composite's +2.5% change. The Zacks Shoes and Retail Apparel industry, to which Skechers belongs, has lost 1.9% over this period. Now the key question is: Where could the stock be headed in the near term?While ...

Skechers (SKX) closed at $73.46 in the latest trading session, marking a -0.45% move from the prior day. This change lagged the S&P 500's 0.61% gain on the day. Elsewhere, the Dow gained 0.3%, while the tech-heavy Nasdaq added 1.28%.Coming into today, shares of the shoe company had gained 8.95% in the past month. In that same time, the Consumer Discretionary sector lost 1.39%, while the S&P 500 gained 2.08%.The investment community will be closely monitoring the performance of Skechers in its forthcoming ea ...

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Company Analysis - Skechers USA (NYSE: SKX) shares were considered a little pricey in September 2014 [1] Industry Focus - Crude Value Insights focuses on the oil and natural gas sector, emphasizing cash flow and companies with value and growth potential [1] - Subscribers gain access to a 50+ stock model account, in-depth cash flow analyses of E&P firms, and live chat discussions about the sector [3] Subscription Benefits - A two-week free trial is available for those interested in the oil and gas sector [2]

Skechers U.S.A., Inc. (SKX) has demonstrated strong upward momentum, trading above its 50 and 200-day simple moving averages (SMAs). SMA is a key indicator of price stability and long-term bullish trends. The company ended Friday’s trading session at $70.09, above its 50 and 200-day SMAs of $65.62 and $65.60, respectively, highlighting a continued uptrend. This technical strength, combined with consistent momentum, indicates positive market sentiment and investor confidence in Skechers’ financial stability ...

Company Performance - Skechers (SKX) closed at $70.09, reflecting a +1.13% change from the previous day's close, outperforming the S&P 500 which fell by 1.54% [1] - Over the past month, Skechers shares experienced a loss of 1.13%, which is better than the Consumer Discretionary sector's loss of 4.47% and the S&P 500's loss of 2.2% [1] Upcoming Earnings - The earnings report for Skechers is scheduled for February 6, 2025, with an expected EPS of $0.73, indicating a 30.36% increase compared to the same quarter last year [2] - The Zacks Consensus Estimate projects net sales of $2.22 billion, representing a 13.04% increase from the previous year [2] Analyst Estimates - Recent changes to analyst estimates for Skechers reflect shifting short-term business dynamics, with positive revisions indicating optimism about the company's profitability [3] - The Zacks Rank system, which incorporates these estimate changes, provides actionable ratings for investors [4] Zacks Rank and Valuation - Skechers currently holds a Zacks Rank of 2 (Buy), with no changes in the Zacks Consensus EPS estimate over the past month [5] - The company has a Forward P/E ratio of 14.36, aligning with its industry's Forward P/E of 14.36, and a PEG ratio of 0.85, compared to the industry average of 1.71 [6] Industry Context - The Shoes and Retail Apparel industry, part of the Consumer Discretionary sector, has a Zacks Industry Rank of 165, placing it in the bottom 35% of over 250 industries [7] - Research indicates that the top 50% rated industries outperform the bottom half by a factor of 2 to 1 [7]

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Core Insights - Skechers aims for $10 billion in annual sales by 2026, planning capital expenditures of $375-$400 million to support store openings, omnichannel capabilities, and distribution infrastructure [2][20]. Financial Performance - Skechers' shares are currently trading 9.8% below their 52-week high of $75.09, with an 8.1% gain over the past year, outperforming the Zacks Shoes and Retail Apparel industry's 22.9% decline [6]. - The company revised its fiscal 2024 sales forecast to $8.93-$8.98 billion, up from a previous estimate of $8.88-$8.98 billion, indicating growth from $8 billion in fiscal 2023 [12][21]. - Earnings per share (EPS) guidance has been increased to $4.20-$4.25 from $4.08-$4.18, reflecting a rise from last year's EPS of $3.49 [21]. Sales Growth - The Direct-to-Consumer (DTC) segment saw a 9.6% year-over-year sales increase to $931.7 million, with international DTC sales growing 14.4% and domestic sales increasing by 3.7% [9]. - The wholesale segment reported a 20.6% year-over-year sales increase to $1.42 billion, driven by a 26% rise in domestic sales and an 18% increase in international sales [10]. Retail Expansion - Skechers operates 5,332 branded stores globally, including 1,743 company-owned locations, and plans to open 55-60 additional stores in the fourth quarter [11]. - International revenues rose 16.4% year over year, accounting for 61% of total revenues, with EMEA leading at a 30.2% increase [26]. Strategic Initiatives - The company is adopting a multi-brand strategy to diversify its portfolio, focusing on comfort-oriented footwear and enhancing its infrastructure for e-commerce and retail operations [18][22]. - Ongoing investments in logistics and retailer relationships are expected to drive growth in the wholesale segment throughout fiscal 2024 [10].

Core Viewpoint - Skechers (SKX) has been upgraded to a Zacks Rank 2 (Buy) due to an upward trend in earnings estimates, indicating a positive outlook for the company's stock price [6][7][17]. Earnings Estimates and Revisions - Analysts have raised their earnings estimates for Skechers, with the Zacks Consensus Estimate increasing by 1.9% over the past three months [10]. - For the fiscal year ending December 2024, Skechers is expected to earn $4.24 per share, reflecting a 21.5% increase from the previous year's reported number [15]. Zacks Rating System - The Zacks rating system classifies stocks into five groups based on earnings estimates, with Zacks Rank 1 (Strong Buy) stocks historically generating an average annual return of +25% since 1988 [9]. - The upgrade of Skechers places it in the top 20% of Zacks-covered stocks in terms of estimate revisions, suggesting potential for near-term stock price increases [5][17]. Market Impact - Rising earnings estimates and the corresponding rating upgrade imply an improvement in Skechers' underlying business, which could lead to higher stock prices as investors respond positively [8][12]. - The correlation between earnings estimate revisions and near-term stock movements is strong, making it beneficial for investors to track these revisions for investment decisions [14].

Core Insights - The article emphasizes the importance of using Zacks Rank and Style Scores to identify stocks with high potential for outperformance in the market [2][4][11]. Company Overview - Skechers U.S.A., Inc. designs, develops, markets, and distributes footwear for men, women, and children under the SKECHERS brand and other uniquely branded names [18]. Earnings Estimates - For fiscal 2024, five analysts have revised their earnings estimates upwards in the last 60 days, with the Zacks Consensus Estimate increasing by $0.09 to $4.24 per share [19]. Stock Ratings - Skechers (SKX) currently holds a Zacks Rank of 3 (Hold) and has a VGM Score of A, indicating a solid position in the market [7][8]. - The company also has a Value Style Score of B, supported by attractive valuation metrics such as a forward P/E ratio of 15.62, making it appealing to value investors [24]. Investment Strategy - To maximize returns, investors are encouraged to focus on stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B, which increases the probability of success [5][6].