
Skechers U.S.A. (SKX) Stock Forecast & Price Target
Skechers U.S.A. (SKX) Analyst Ratings
Bulls say
Skechers USA Inc. has demonstrated a solid financial performance with a 12.8% year-over-year sales increase, reaching $2,212.4 million, driven by strong growth in both the Wholesale and Direct-to-Consumer segments. The company experienced an expansion in gross margin by 20 basis points year-over-year, attaining 53.3%, which was slightly above expectations, indicating operational efficiency and effective cost management. Additionally, the balance sheet appears robust, featuring a net cash position of $4.35 per share, positioning Skechers well for future growth and investment opportunities.
Bears say
Skechers USA Inc. reported a 13% increase in revenues for the recent quarter, aligning with guidance; however, earnings per share (EPS) of $0.65 fell short of the forecast due to a significant $0.21 adverse impact from foreign exchange (FX) fluctuations. Revenue from China has shown a troubling 12% decline for the quarter, marking the fourth consecutive quarter of reduced growth, with persistent FX challenges anticipated to exert a $200 million headwind to revenue and a notable impact on EPS for the upcoming quarters. Furthermore, the company's guidance for 1Q25 revenue has lagged behind previous estimates, leading to reductions in revenue and earnings projections due to escalating challenges in the Chinese market, increased FX pressures, and a higher tax rate, which have all contributed to a negative sentiment regarding the stock.
This aggregate rating is based on analysts' research of Skechers U.S.A. and is not a guaranteed prediction by Public.com or investment advice.
Skechers U.S.A. (SKX) Analyst Forecast & Price Prediction
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