Financial Data and Key Metrics Changes - Adjusted earnings per share for Q1 2025 were $0.22, down from $0.88 in the previous year [29] - Total sales for Q1 2025 were $614.2 million, a decline of 6.8% year over year, which was below expectations of a 5% to 6% decline [26][27] - Consolidated gross margin decreased to 45.4%, down 150 basis points compared to last year [27] - Operating earnings were $12.2 million, resulting in an operating margin of 2% [28] Business Segment Data and Key Metrics Changes - Brand Portfolio sales declined by 6.9%, with gross margin at 43.8%, down 280 basis points due to lower initial margins and higher markdown reserves [27][28] - Famous Footwear sales decreased by 6.3%, with comparable sales down 4.6%, but e-commerce sales increased by 2.5% [20][21] - The Brand Portfolio's lead brands, including Sam Edelman and Allen Edmonds, represented about 60% of sales and 80% of operating earnings [12] Market Data and Key Metrics Changes - The Brand Portfolio gained market share in women's fashion footwear despite overall sales declines [11] - Famous Footwear gained 0.5 points of market share in shoe chains within the kids category [21] Company Strategy and Development Direction - The company plans to reduce SG&A expenses by $15 million annually through structural cuts [7][34] - An acquisition of Stuart Weitzman is expected to enhance the company's premium positioning and direct-to-consumer presence [19] - The company is focusing on optimizing sourcing strategies and managing inventory levels in response to tariff impacts [9][32] Management's Comments on Operating Environment and Future Outlook - Management acknowledged a challenging operating environment and emphasized the need to drive growth and profitability [6][7] - There is cautious optimism regarding back-to-school preparations, with no major cancellations reported [40] - The company is suspending guidance due to the volatile environment but is seeing improving retail trends [33][34] Other Important Information - Inventory levels increased by 8.1% year over year, with a significant portion attributed to the upcoming launch of the Jordan brand [30] - Cash flow from operations was negative $5.7 million due to lower net income and higher inventory levels [30] Q&A Session Summary Question: How are you thinking about the prices of your portfolio brands moving into the summer and fall? - The company is making selective price increases, starting with fall receipts, and is managing this in real-time with key partners [38][39] Question: What adjustments are being made for the $15 million in strategic expense cutting? - The reductions are permanent and structural, expected to begin in the third quarter, with $7.5 million in savings for the back half of the year [43][44] Question: How is the Jordan launch performing? - Early trends for the Jordan launch are encouraging, with strong sell-throughs in men's and boys' categories [56][57] Question: What is the impact of tariffs on the business? - The company is managing tariff-related challenges through factory concessions and selective price increases, but the situation remains fluid [32][60] Question: How should we think about inventory reserves and customer credit issues moving forward? - The company believes it has adequately reserved for spring product markdowns and is closely monitoring customer credit ratings [62][63]

Financial Data and Key Metrics Changes - The company reported adjusted earnings per share of $0.22, with first quarter sales declining 6.8% year over year [8][26] - Consolidated gross margin was 45.4%, down 150 basis points compared to last year, driven by lower margins in both segments [26] - Operating earnings were $12.2 million, with an operating margin of 2% [28] Business Segment Data and Key Metrics Changes - Brand Portfolio sales declined 6.9%, while Famous Footwear sales were down 6.3% with comparable sales down 4.6% [20][26] - The Brand Portfolio gross margin was 43.8%, down 280 basis points due to lower initial margins and higher markdown reserves [26] - Famous gross margin was 45.3%, down 80 basis points due to increased promotional days and higher freight costs [26] Market Data and Key Metrics Changes - The company gained market share in women's fashion footwear despite overall sales declines [11] - Famous Footwear saw a 0.5 point market share gain in the kids category, with kids penetration at 21% [21] Company Strategy and Development Direction - The company is focused on controlling costs, optimizing sourcing strategies, and reducing SG&A expenses by $15 million annually [7][34] - The planned acquisition of Stuart Weitzman is seen as a strategic fit, enhancing the company's premium positioning and direct-to-consumer presence [18][19] Management's Comments on Operating Environment and Future Outlook - Management acknowledged a challenging operating environment and emphasized the need to drive growth and profitability [6][7] - The company is cautiously optimistic about back-to-school sales and believes it is well-positioned to gain market share [24][40] Other Important Information - Inventory levels increased by 8.1% year over year, with a significant build for the Jordan brand launch [30] - Cash flow from operations was negative $5.7 million due to lower net income and higher inventory levels [30] Q&A Session Summary Question: How are you thinking about the prices of your portfolio brands moving into the summer and fall? - The company is making selective price increases and managing them in real-time with key partners [38][39] Question: Do you see the weaker brand portfolio brands being restructured or exited? - The company is reviewing its brand portfolio but has no immediate plans for restructuring [40] Question: Is Famous Footwear prepared for back-to-school? - The company is in a good position for back-to-school with no major cancellations reported [41] Question: What adjustments are being made for the $15 million in strategic expense cuts? - The reductions are permanent and structural, expected to begin in the third quarter [43][44] Question: Can you provide more context on the Jordan launch? - The Jordan launch is new, and while initial trends are encouraging, significant marketing will ramp up closer to back-to-school [46][57] Question: How are tariffs impacting your plans? - The company is currently maintaining its sourcing strategy and will adjust as necessary based on tariff developments [48][49] Question: How should we think about inventory reserves and customer credit issues moving forward? - The company believes it has adequately reserved for inventory markdowns and is closely monitoring customer credit ratings [62]

Core Insights - Allbirds, Inc. is participating in two upcoming investor conferences, indicating active engagement with the investment community [1][2] - The company emphasizes its commitment to sustainability and innovative materials in its product offerings, which is a core aspect of its brand identity [1] Company Overview - Allbirds, Inc. is a global lifestyle footwear brand founded in 2015, known for its sustainable approach to product design [1] - The company's first product, the Wool Runner, set the standard for its commitment to comfort and sustainability, and it continues to expand its product range [1] - Allbirds utilizes natural materials such as Merino wool, tree fiber, and sugarcane to differentiate its products from conventional offerings [1] Upcoming Events - Allbirds will participate in the TD Cowen 9th Annual Future of the Consumer Conference on June 3rd, 2025, with a fireside chat scheduled for 11:45 a.m. ET [2] - The company will also be featured in the Maxim Group 2025 Virtual Tech Conference on June 4th, 2025, with a fireside chat at 11:30 a.m. ET [2]

Core Viewpoint - Crocs, Inc. will present at Baird's 2025 Global Consumer, Technology & Services Conference on June 3, 2025, at 8:30 AM ET, highlighting its position as a leader in innovative casual footwear [1]. Company Overview - Crocs, Inc. is headquartered in Broomfield, Colorado, and is recognized as a world leader in innovative casual footwear, combining comfort and style [2]. - The company's brands include Crocs and HEYDUDE, with products sold in over 80 countries through wholesale and direct-to-consumer channels [2]. - For more information, stakeholders can visit the Investor Relations section of the Crocs website [2].

Group 1 - Momentum investing contrasts with the traditional strategy of "buy low and sell high," focusing instead on "buying high and selling higher" [1] - Identifying the right entry point for fast-moving stocks can be challenging, as they may lose momentum if future growth does not justify their high valuations [1] - A safer investment approach involves targeting bargain stocks that exhibit recent price momentum, utilizing tools like the Zacks Momentum Style Score [2] Group 2 - Allbirds, Inc. (BIRD) has shown significant recent price momentum, with a four-week price change of 29.9%, indicating growing investor interest [3] - BIRD has gained 0.5% over the past 12 weeks, demonstrating its ability to deliver positive returns over a longer timeframe, with a beta of 1.47 indicating high volatility [4] - BIRD holds a Momentum Score of A, suggesting it is an opportune time to invest in the stock for potential success [5] Group 3 - An upward trend in earnings estimate revisions has contributed to BIRD's Zacks Rank 2 (Buy), as increased analyst interest typically attracts more investors [6] - BIRD is trading at a favorable Price-to-Sales ratio of 0.29, indicating it is undervalued at 29 cents for each dollar of sales [6] - The stock has significant potential for growth, supported by its fast-paced momentum characteristics [7] Group 4 - In addition to BIRD, there are other stocks that meet the criteria of the 'Fast-Paced Momentum at a Bargain' screen, presenting further investment opportunities [7] - Zacks offers over 45 Premium Screens tailored to different investing styles, aiding in the identification of winning stock picks [8]

Group 1: Market Reactions and Stock Performance - April's "Liberation Day" led to significant market volatility, creating opportunities for both bullish and bearish investors [1][2] - Deckers Outdoor Corp. (DECK) experienced a 20% decline due to tariff cost absorption, highlighting the impact of trade policies on specific companies [2] - Notable stock performances included Papa John's International Inc. (PZZA) up 29%, Coupang Inc. (CPNG) up 26%, and JBT Marel Corp. (JBTM) up 18% [7] Group 2: Tax Legislation and Economic Impact - The U.S. House of Representatives passed a comprehensive tax bill aimed at extending the 2017 tax cuts, which is expected to increase consumer demand [6] - Intuit Inc. (INTU) is recommended as a beneficiary of potential tax changes, regardless of Congressional actions [4] - Analysts predict a surge in revenues for Sezzle Inc. (SEZL) by 62% this year, benefiting from increased consumer spending [9] Group 3: Technology Sector Developments - The tech sector is poised for growth as regulations are expected to be relaxed, particularly benefiting chipmakers like Monolithic Power Systems Inc. (MPWR) which has seen a 20% increase [12] - Interactive Brokers Group Inc. (IBKR) is positioned to capitalize on the relaxation of tech regulations, offering a platform that integrates various trading assets [13][15] - The potential for growth in prediction markets and cryptocurrencies is highlighted as new areas of opportunity for Interactive Brokers [16] Group 4: Energy Sector Opportunities - The energy sector is set to benefit from accelerated permit approvals for fossil fuel production, with MPLX LP (MPLX) identified as a strong player in the natural gas pipeline industry [18][20] - MPLX is expected to see a 7% increase in revenues and profits this year, with a favorable risk-reward profile due to its conservative asset base [21] - The stock trades at a discount compared to competitors, offering a high dividend yield of 7.6% [21]

Core Viewpoint - Deckers Outdoor Corporation's shares are experiencing a decline following the release of its fourth-quarter financial results for FY25, which, despite beating analyst expectations, led to downgrades from analysts due to increased uncertainty and a soft outlook for Q1 FY26 [1][2][3]. Financial Performance - The company reported fourth-quarter revenue of $1.02 billion, surpassing analyst estimates of $1.01 billion, and earnings of $1 per share, exceeding estimates of 59 cents per share [1]. - For the first quarter of FY26, Deckers expects revenue between $890 million and $910 million, below the estimate of $925.86 million, and earnings between 62 cents and 67 cents per share, compared to the estimate of 81 cents per share [2]. Analyst Downgrades - KeyBanc analyst Ashley Owens downgraded Deckers from Overweight to Sector Weight, citing concerns about HOKA's future sales trajectory and a notable slowdown in growth [3][5]. - Telsey Advisory Group analyst Dana Telsey also downgraded the company to Market Perform from Outperform and reduced the price forecast from $240 to $120 [5]. Market and Strategic Concerns - Analysts highlighted weaker customer acquisition, macroeconomic pressures, and a strategic shift toward wholesale expansion as factors that may dilute brand momentum [4]. - Recent price increases could negatively impact consumer demand, and HOKA's growth has decelerated faster than expected, although UGG's performance helped offset some of this slowdown [6]. Revenue Outlook and Stock Performance - The revenue outlook remains uncertain due to unpredictable consumer responses to pricing increases in the retail sector, with analysts noting potential margin headwinds from a shift toward wholesale and increased tariff costs [6][7]. - Following the downgrades, DECK shares fell by 19.9% to $100.94 [7].

Core Viewpoint - Deckers Outdoor Corp (NYSE: DECK) has experienced a significant decline of 20.2%, trading at $100.67, after the company refrained from providing a full-year forecast due to economic uncertainty [1]. Financial Performance - Despite better-than-expected fiscal fourth-quarter results, Deckers has faced a series of price-target cuts and downgrades from analysts, with Keybanc lowering its rating to "sector weight" from "overweight" and Telsey Advisory downgrading to "market perform" from "outperform" [2]. - UBS, in contrast, raised its price target for Deckers to $169 [2]. Stock Performance - The current drop positions Deckers for its worst trading day since April 2012, with shares hitting a new 52-week low of $100.70 and reflecting a year-to-date deficit of 50.7% [3]. - Options trading has surged, with 46,000 calls and 29,000 puts traded, which is ten times the typical options volume for this period. The most active option is the weekly 5/30 102-strike call, with new positions being opened [3]. Volatility and Options - The stock's Schaeffer's Volatility Scorecard (SVS) is 97 out of 100, indicating that it has historically outperformed options traders' volatility expectations [4].

Core Viewpoint - Deckers reported fiscal fourth-quarter earnings that exceeded estimates but provided disappointing guidance for the current quarter, leading to a significant drop in stock price [1][4]. Financial Performance - Fiscal fourth-quarter revenue increased by 6.5% to $1.02 billion, aligning closely with estimates of $1.01 billion, a slowdown compared to 16.3% growth for the full year [2]. - Hoka brand sales growth decelerated to 10%, down from 23.6% for the full fiscal year, while Ugg brand growth slowed to 3.6% from 13.1% [2]. - Gross margin improved from 56.2% to 56.7%, and operating income rose by 20.5% from $144.3 million to $173.9 million [3]. - Earnings per share (EPS) increased from $0.82 to $1, significantly surpassing the consensus estimate of $0.61 [3]. Future Guidance - For the first quarter, management anticipates revenue between $890 million and $910 million, below the consensus estimate of $925.3 million, indicating a 9% growth at the midpoint [4]. - Adjusted EPS is projected to be between $0.62 and $0.67, lower than the estimate of $0.79 and down from $0.75 in the same quarter last year [4]. Market Conditions - Management acknowledged that uncertainties related to tariffs would impact business this fiscal year, leading to a lack of guidance due to these uncertainties [5]. - The company has increased its share repurchase authorization, indicating a strategy to take advantage of the stock's decline, which has fallen over 50% from its peak earlier this year [5]. Valuation Perspective - Despite the weak guidance and pressures from the trade environment, the current valuation appears attractive for a company with a history of outperforming the market [6].

Group 1: Ross Stores, Inc. - Ross Stores reported quarterly earnings of $1.47 per share, beating the Street estimate of $1.44, with quarterly revenue of $4.99 billion, surpassing the consensus estimate of $4.97 billion [1][2] - The company issued second-quarter GAAP EPS guidance in the range of $1.40 to $1.55, which is below the analyst estimate of $1.65 [2] - Following the guidance, Ross Stores shares fell 11.2% to $135.00 in pre-market trading [2] Group 2: Other Companies - Bicara Therapeutics Inc. shares dipped 20.2% to $12.50 after announcing mixed results from a phase 1/1b trial for ficerafusp alfa [4] - Deckers Outdoor Corporation shares fell 16% to $105.90 after reporting fourth-quarter financial results and expecting first-quarter revenue of $890 million to $910 million, below estimates of $925.86 million [4] - Gyre Therapeutics, Inc. shares fell 14.4% to $9.60 due to a $20.0 million public offering of common stock [4] - Hallador Energy Company shares tumbled 9.7% to $17.00 in pre-market trading [4] - Xerox Holdings Corporation shares dipped 9.6% to $4.62 after reducing its quarterly dividend from $0.125 per share to $0.025 [4] - MINISO Group Holding Limited shares fell 8.5% to $20.30 following third-quarter results [4] - Workday, Inc. shares declined 6.5% to $254.40 after issuing second-quarter sales guidance below estimates [4] - Navitas Semiconductor Corporation shares dipped 6.3% to $4.73 after a significant jump of 164% on Thursday due to collaboration with Nvidia [4]