Designer Brands Analysts Boost Their Forecasts Following Strong Q3 Earnings

Core Insights - Designer Brands Inc reported third-quarter adjusted earnings per share of 38 cents, exceeding the analyst consensus estimate of 18 cents [1] - Quarterly sales were $752.411 million, a decrease of 3.2% year over year, which fell short of the expected $763.400 million [1] - Total comparable sales decreased by 2.4% [1] Financial Performance - CEO Doug Howe stated that the third-quarter performance reflects a meaningful step in the company's transformation, showing sequential improvement across various financial and operational metrics [2] - The company anticipates adjusted operating profit for fiscal year 2025 to be between $50 million and $55 million [2] - Designer Brands projects a decline in net sales of 3% to 5% [2] Stock Market Reaction - Following the earnings announcement, Designer Brands shares increased by 8.6%, trading at $7.82 [2] Analyst Ratings and Price Targets - Telsey Advisory Group analyst Dana Telsey maintained a Market Perform rating and raised the price target from $5 to $7 [4] - UBS analyst Jay Sole maintained a Neutral rating and increased the price target from $4.5 to $7 [4]