CALERES INC (CAL) Jun 2024 Earnings Report

Caleres, Inc.: Investment Report

Overview

Caleres, Inc. is a leading footwear company that operates in the retail and wholesale segments, offering a diverse portfolio of brands across various categories. With a strong market presence and a robust e-commerce platform, the company has established itself as a key player in the industry. In this report, we will delve into Caleres' financial performance, growth prospects, and recent news, providing a comprehensive analysis of the company's investment potential.

Core Metrics

  • Current price: $34.12 USD
  • 52-week high: $41.94
  • 52-week low: $23.08
  • Market Cap: $1.1986 billion
  • P/E Ratio: 7.24
  • Earnings per Share: $4.71
  • 50-day average: $36.37
  • 200-day average: $32.21
  • Analyst Recommendations: Buy (3 analysts)

Financial Performance

Caleres, Inc. has demonstrated a stable financial performance in recent years, with a revenue growth rate of -0.5% in the last quarter. The company's gross margin stands at 45.11%, while the EBITDA margin is 8.87%. With a total cash balance of $30.71 million and an operating cash flow of $198.73 million, the company has a solid financial foundation. The P/E ratio of 7.24 indicates that the stock is undervalued compared to its peers.

Growth Prospects

Caleres, Inc. has significant growth potential, driven by its diversified brand portfolio and expanding e-commerce platform. The company's focus on omnichannel retailing and its commitment to investing in digital capabilities position it well for long-term growth. Additionally, Caleres' efforts to enhance its supply chain and logistics will enable it to improve efficiency and reduce costs, further bolstering its growth prospects.

News and Updates

Recent news articles highlight Caleres' involvement in various initiatives, including the ranking of its running back unit as eighth-best in the country and its presence at the SEC/ACC Challenge. However, protests at Cal State LA have led to the takeover of a campus building, which may have a minor impact on the company's operations.

Upgrades and Downgrades

Recently, Loop Capital reiterated its "Buy" rating on Caleres, Inc., while Piper Sandler maintained its "Neutral" rating. These analyst recommendations demonstrate a mixed sentiment towards the stock, providing an opportunity for investors to capitalize on the company's growth potential.

Summary

Caleres, Inc. is an attractive investment opportunity, driven by its stable financial performance, diversified brand portfolio, and growth potential. With a solid financial foundation and a commitment to investing in digital capabilities, the company is well-positioned for long-term growth. While recent news articles highlight some challenges, the company's overall prospects remain promising. We recommend a "Buy" rating on Caleres, Inc.

Disclosures

The information on this website should not be construed as or relied upon in any manner as investment, legal, tax, or other advice. You should consult your own advisers as to legal, business, tax, and other related matters concerning any investment. Any projections, estimates, forecasts, targets, prospects and/or opinions expressed in these materials are subject to change without notice and may differ or be contrary to opinions expressed by others. Any charts provided here or on other content distribution outlets are for informational purposes only, and should not be relied upon when making any investment decision. Under no circumstances should any information provided on this website or social media platforms be construed as an offer soliciting the purchase or sale of any security, nor should it be construed as an offer to provide investment advisory services.