Yahoo Finance Skechers Earnings: What To Look For From SKX
Footwear company Skechers (NYSE:SKX) will be reporting earnings tomorrow after the bell. Here's what to look for.
Skechers beat analysts' revenue expectations by 2.3% last quarter, reporting revenues of $2.25 billion, up 12.5% year on year. It was a decent quarter for the company, with an impressive beat of analysts' constant currency revenue estimates.
Is Skechers a buy or sell going into earnings? Read our full analysis here, it's free.
This quarter, analysts are expecting Skechers's revenue to grow 11% year on year to $2.23 billion, improving from the 7.7% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.94 per share.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Skechers has missed Wall Street's revenue estimates twice over the last two years.
Looking at Skechers's peers in the consumer discretionary segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Nike's revenues decreased 1.7% year on year, missing analysts' expectations by 1.9%, and Carnival reported revenues up 17.7%, topping estimates by 1.9%. Nike traded down 20% following the results while Carnival was up 12%.
Read our full analysis of Nike's results here and Carnival's results here.
There has been positive sentiment among investors in the consumer discretionary segment, with share prices up 9.8% on average over the last month. Skechers is down 8.7% during the same time and is heading into earnings with an average analyst price target of $80.4 (compared to the current share price of $66.45).
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