Skechers U.S.A. (NYSE:SKX) Reaches New 52-Week High on Better-Than-Expected Earnings

Skechers U.S.A., Inc. (NYSE:SKX)’s share price reached a new 52-week high during mid-day trading on Friday following a better than expected earnings announcement. The company traded as high as $68.94 and last traded at $68.93, with a volume of 2110730 shares. The stock had previously closed at $58.82.

The textile maker reported $1.33 EPS for the quarter, beating the consensus estimate of $1.10 by $0.23. Skechers U.S.A. had a return on equity of 12.89% and a net margin of 6.82%. The firm had revenue of $2.25 billion during the quarter, compared to analysts’ expectations of $2.20 billion. During the same quarter in the prior year, the firm posted $1.02 EPS. The company’s revenue for the quarter was up 12.5% on a year-over-year basis.

Wall Street Analyst Weigh In

SKX has been the topic of a number of recent research reports. Wedbush lifted their price target on shares of Skechers U.S.A. from $68.00 to $76.00 and gave the stock an “outperform” rating in a research note on Friday. Monness Crespi & Hardt lifted their target price on shares of Skechers U.S.A. from $60.00 to $72.00 and gave the company a “buy” rating in a research report on Thursday, January 18th. Barclays started coverage on shares of Skechers U.S.A. in a research report on Monday, April 1st. They issued an “overweight” rating and a $71.00 price target for the company. Stifel Nicolaus cut their price target on shares of Skechers U.S.A. from $72.00 to $70.00 and set a “buy” rating for the company in a research note on Friday, February 2nd. Finally, Evercore ISI lowered their price objective on Skechers U.S.A. from $73.00 to $68.00 and set an “outperform” rating on the stock in a research note on Wednesday, April 17th. Two research analysts have rated the stock with a hold rating and eleven have given a buy rating to the company’s stock. Based on data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average price target of $66.83.

Insider Transactions at Skechers U.S.A.

In related news, COO David Weinberg sold 67,390 shares of the company’s stock in a transaction dated Thursday, February 8th. The shares were sold at an average price of $57.87, for a total transaction of $3,899,859.30. Following the transaction, the chief operating officer now owns 141,405 shares in the company, valued at approximately $8,183,107.35. The sale was disclosed in a filing with the SEC, which can be accessed through this link. In other news, EVP Mark A. Nason sold 6,432 shares of the stock in a transaction on Friday, February 9th. The stock was sold at an average price of $58.83, for a total value of $378,394.56. Following the transaction, the executive vice president now owns 34,023 shares of the company’s stock, valued at approximately $2,001,573.09. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, COO David Weinberg sold 67,390 shares of the firm’s stock in a transaction dated Thursday, February 8th. The stock was sold at an average price of $57.87, for a total value of $3,899,859.30. Following the transaction, the chief operating officer now owns 141,405 shares in the company, valued at approximately $8,183,107.35. The disclosure for this sale can be found here. Insiders have sold 254,875 shares of company stock valued at $15,021,192 in the last three months. 24.75% of the stock is owned by corporate insiders.

Institutional Trading of Skechers U.S.A.

A number of hedge funds have recently modified their holdings of the company. Vanguard Group Inc. increased its stake in Skechers U.S.A. by 0.3% in the fourth quarter. Vanguard Group Inc. now owns 12,626,633 shares of the textile maker’s stock valued at $787,144,000 after purchasing an additional 40,138 shares in the last quarter. Massachusetts Financial Services Co. MA raised its stake in Skechers U.S.A. by 2.4% during the 3rd quarter. Massachusetts Financial Services Co. MA now owns 4,770,584 shares of the textile maker’s stock worth $233,520,000 after buying an additional 112,517 shares during the period. Fiduciary Management Inc. WI lifted its holdings in Skechers U.S.A. by 3.5% during the fourth quarter. Fiduciary Management Inc. WI now owns 2,893,529 shares of the textile maker’s stock worth $180,383,000 after acquiring an additional 98,068 shares in the last quarter. Pacer Advisors Inc. grew its stake in Skechers U.S.A. by 6,521.5% in the fourth quarter. Pacer Advisors Inc. now owns 1,456,599 shares of the textile maker’s stock valued at $90,804,000 after acquiring an additional 1,434,601 shares during the period. Finally, AQR Capital Management LLC increased its holdings in shares of Skechers U.S.A. by 72.8% in the third quarter. AQR Capital Management LLC now owns 1,311,246 shares of the textile maker’s stock worth $64,185,000 after acquiring an additional 552,452 shares in the last quarter. 79.96% of the stock is currently owned by institutional investors and hedge funds.

Skechers U.S.A. Price Performance

The company has a current ratio of 2.38, a quick ratio of 1.46 and a debt-to-equity ratio of 0.06. The company has a fifty day moving average price of $59.73 and a two-hundred day moving average price of $58.04. The firm has a market cap of $10.02 billion, a P/E ratio of 18.74, a PEG ratio of 1.07 and a beta of 1.32.

About Skechers U.S.A.

Skechers U.SA, Inc designs, develops, markets, and distributes footwear for men, women, and children worldwide. The company operates through Wholesale and Direct-to-Consumer segments. It offers footwear under Skechers Hands Free Slip-ins, Skechers Arch Fit, and Skechers Air-Cooled Memory Foam brands.