Unlock stock picks and a broker-level newsfeed that powers Wall Street.

Winners And Losers Of Q4: Genesco (NYSE:GCO) Vs The Rest Of The Footwear Stocks

In This Article:

GCO Cover Image
Winners And Losers Of Q4: Genesco (NYSE:GCO) Vs The Rest Of The Footwear Stocks

The end of the earnings season is always a good time to take a step back and see who shined (and who not so much). Let’s take a look at how footwear stocks fared in Q4, starting with Genesco (NYSE:GCO).

Before the advent of the internet, styles changed, but consumers mainly bought shoes by visiting local brick-and-mortar shoe, department, and specialty stores. Today, not only do styles change more frequently as fads travel through social media and the internet but consumers are also shifting the way they buy their goods, favoring omnichannel and e-commerce experiences. Some footwear companies have made concerted efforts to adapt while those who are slower to move may fall behind.

The 8 footwear stocks we track reported a mixed Q4. As a group, revenues beat analysts’ consensus estimates by 2% while next quarter’s revenue guidance was in line.

Amidst this news, share prices of the companies have had a rough stretch. On average, they are down 33.8% since the latest earnings results.

Weakest Q4: Genesco (NYSE:GCO)

Spanning a broad range of styles, brands, and prices, Genesco (NYSE:GCO) sells footwear, apparel, and accessories through multiple brands and banners.

Genesco reported revenues of $745.9 million, flat year on year. This print fell short of analysts’ expectations by 5%. Overall, it was a softer quarter for the company with adjusted operating income in line with analysts’ estimates.

Genesco Total Revenue
Genesco Total Revenue

Genesco delivered the weakest performance against analyst estimates of the whole group. The stock is down 47% since reporting and currently trades at $17.20.

Read our full report on Genesco here, it’s free.

Best Q4: Nike (NYSE:NKE)

Originally selling Japanese Onitsuka Tiger sneakers as Blue Ribbon Sports, Nike (NYSE:NKE) is a global titan in athletic footwear, apparel, equipment, and accessories.

Nike reported revenues of $11.27 billion, down 9.3% year on year, outperforming analysts’ expectations by 2.3%. The business had a stunning quarter with an impressive beat of analysts’ EPS estimates and a solid beat of analysts’ EBITDA estimates.

Nike Total Revenue
Nike Total Revenue

The stock is down 24.4% since reporting. It currently trades at $54.35.

Is now the time to buy Nike? Access our full analysis of the earnings results here, it’s free.

Skechers (NYSE:SKX)

Synonymous with "dad shoe", Skechers (NYSE:SKX) is a footwear company renowned for its comfortable, stylish, and affordable shoes for all ages.

Skechers reported revenues of $2.21 billion, up 12.8% year on year, in line with analysts’ expectations. It was a softer quarter as it posted a significant miss of analysts’ EPS estimates and EPS guidance for next quarter missing analysts’ expectations.