Analyst Sam Poser of Williams Trading maintained a Buy rating on Skechers USA (SKX – Research Report), with a price target of $80.00.
Sam Poser has given his Buy rating due to a combination of factors that indicate a strong performance and promising outlook for Skechers USA. Poser highlights the growing retail demand for Skechers, particularly noting the success of their Slip-In technology which has yet to reach its full market potential. The company’s strategic management of inventory and wholesale relationships is praised, as Skechers has not resorted to aggressive sell-in tactics, choosing instead a more measured approach to growth. This has resulted in a significant year-to-date increase in domestic retail revenue, underscoring the brand’s robust demand.
Furthermore, Poser points out that Skechers’ wholesale accounts are increasingly placing orders in advance, a testament to the brand’s strong market pull and the anticipation of continued demand. This preemptive ordering by retailers is not fully accounted for in the company’s guidance, suggesting potential for revenue outperformance. Poser also notes Skechers’ exceptional supply chain capabilities, which he considers superior to nearly all other footwear companies. This operational strength, combined with the anticipated pull forward of orders and the potential for additional orders to be placed to meet consumer demand, forms the basis for Poser’s positive outlook and Buy rating for Skechers USA.
Poser covers the Consumer Cyclical sector, focusing on stocks such as Birkenstock Holding plc, Boot Barn, and Nike. According to TipRanks, Poser has an average return of 17.9% and a 53.88% success rate on recommended stocks.
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Skechers USA (SKX) Company Description:
SKECHERS USA, Inc. engages in designing, development and marketing of lifestyle footwear for men, women, and children of all ages. It operates through the following segments: Domestic Wholesale Sales, International Wholesale Sales, and Retail Sales. The Domestic Wholesale Sales segment distributes footwear through the domestic wholesale distribution channels: department stores, specialty stores, athletic specialty shoe stores and independent retailers, as well as catalog and internet retailers. The International Wholesale Sales segment includes international direct subsidiary sales and international distributor sales. The Retail Sales segment refers to e-commerce which operates through the concept stores, factory outlet stores, and warehouse outlet stores. The company was founded by Robert Greenberg and Michael Greenberg in 1992 and is headquartered in Manhattan Beach, CA.
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