Yahoo Finance Here's How Much a $1000 Investment in Skechers Made 10 Years Ago Would Be Worth Today
How much a stock's price changes over time is important for most investors, since price performance can both impact your investment portfolio and help you compare investment results across sectors and industries.
Another thing that can drive investing is the fear of missing out, or FOMO. This particularly applies to tech giants and popular consumer-facing stocks.
What if you'd invested in Skechers (SKX) ten years ago? It may not have been easy to hold on to SKX for all that time, but if you did, how much would your investment be worth today?
Skechers' Business In-Depth
With that in mind, let's take a look at Skechers' main business drivers.
Founded in 1992 and headquartered in Manhattan Beach, California, Skechers U.S.A., Inc. designs, develops, markets, and distributes footwear for men, women, and children in the United States and overseas under the SKECHERS name, as well as under several uniquely branded names.
Through its distribution networks, joint venture partners in Asia and the Middle East, and wholly-owned subsidiaries in Canada, Japan, throughout Europe and Latin America, Skechers’ products are available in more than 180 countries and territories. As of Mar 31, 2024, SKX had 5,203 stores, including 565 domestic stores, 1,106 international locations, and 3,532 distributors, licensee and franchise stores.
Skechers offers casuals, dress casuals, comfort and lightweight, sandals, and casual fusion categories for men and women under the Skechers USA brand; sport footwear for men and women, including men’s lifestyle athletic footwear, lightweight women’s sneakers, and sport sandals and boots under the Skechers Sport brand; fusion and sport fusion sneakers for females of all ages under the Skechers Active brand; and vulcanized looks and at Home collection under the brand BOBS from Skechers.
The company also provides casuals, field boots, hikers, and athletic shoes for men and women under the Skechers Work brand; boots, shoes, sandals, dress sneakers, and lighted footwear for infants, toddlers, boys, and girls under the Skechers Kids brand; and a vivid range of on-trend casual, dress and active styles for men under Mark Nason Collection.
The company also offers specially designed footwear collection under Skechers GOrun, Skechers GOwalk, Skechers, Skechers GOtrain, Skechers GOtrail, Skechers GO Golf and YOU by Skechers.
Skechers reported segmental results for wholesale (63.1% of first-quarter 2024 total revenues) and direct-to-consumer (36.9% of first-quarter 2024 total revenues) operations, including its joint venture businesses.
Bottom Line
Putting together a successful investment portfolio takes a combination of research, patience, and a little bit of risk. For Skechers, if you bought shares a decade ago, you're likely feeling really good about your investment today.
A $1000 investment made in May 2014 would be worth $5,013.56, or a gain of 401.36%, as of May 20, 2024, according to our calculations. This return excludes dividends but includes price appreciation.
Compare this to the S&P 500's rally of 182.41% and gold's return of 79.53% over the same time frame.
Analysts are forecasting more upside for SKX too.
Skechers strategically broadens its brand range, focusing on comfortable footwear amidst changing lifestyle preferences. Investments in global infrastructure support both online and offline growth, facilitating better customer interaction through seamless experiences. The wholesale segment thrives due to efficient inventory management and expansion into international markets. Strong direct-to-consumer sales reflect successful product innovations and targeted marketing efforts. Skechers plans to further expand its direct sales channels and global presence while investing in new stores. The upwardly revised fiscal 2024 projections following impressive first quarter performance, aligns with Skechers’ strategic goals. Second-quarter sales forecasts reinforce positive momentum. Management is poised to attain $10 billion in sales by 2026.
Shares have gained 21.29% over the past four weeks and there have been 7 higher earnings estimate revisions for fiscal 2024 compared to none lower. The consensus estimate has moved up as well.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Skechers U.S.A., Inc. (SKX) : Free Stock Analysis Report
