Skechers U.S.A. (NYSE:SKX) Shares Gap Down on Disappointing Earnings

Shares of Skechers U.S.A., Inc. (NYSE:SKX - Get Free Report) gapped down before the market opened on Friday following a dissappointing earnings announcement. The stock had previously closed at $75.62, but opened at $69.00. Skechers U.S.A. shares last traded at $69.14, with a volume of 2,840,144 shares traded.

The textile maker reported $0.65 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.73 by ($0.08). Skechers U.S.A. had a net margin of 7.13% and a return on equity of 13.81%.

Analyst Upgrades and Downgrades

Several analysts have commented on SKX shares. Piper Sandler began coverage on shares of Skechers U.S.A. in a report on Tuesday, December 10th. They set a "neutral" rating and a $65.00 target price on the stock. Barclays raised their price objective on shares of Skechers U.S.A. from $79.00 to $80.00 and gave the stock an "overweight" rating in a report on Friday, October 25th. Deutsche Bank Aktiengesellschaft upped their target price on shares of Skechers U.S.A. from $83.00 to $84.00 and gave the stock a "buy" rating in a research note on Friday, October 25th. Bank of America dropped their price target on Skechers U.S.A. from $81.00 to $80.00 and set a "buy" rating on the stock in a research note on Friday, October 25th. Finally, Needham & Company LLC reaffirmed a "hold" rating on shares of Skechers U.S.A. in a research report on Friday. Two investment analysts have rated the stock with a hold rating and twelve have given a buy rating to the company. Based on data from MarketBeat, Skechers U.S.A. has an average rating of "Moderate Buy" and a consensus target price of $81.50.

Insider Buying and Selling at Skechers U.S.A.

In other news, President Michael Greenberg sold 10,274 shares of the business's stock in a transaction dated Tuesday, December 31st. The shares were sold at an average price of $67.48, for a total transaction of $693,289.52. Following the transaction, the president now directly owns 149,327 shares in the company, valued at $10,076,585.96. The trade was a 6.44 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, COO David Weinberg sold 8,219 shares of the firm's stock in a transaction dated Tuesday, December 31st. The shares were sold at an average price of $67.48, for a total transaction of $554,618.12. Following the completion of the sale, the chief operating officer now owns 122,211 shares of the company's stock, valued at $8,246,798.28. This trade represents a 6.30 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Corporate insiders own 24.75% of the company's stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in the business. UMB Bank n.a. grew its stake in Skechers U.S.A. by 423.3% in the 3rd quarter. UMB Bank n.a. now owns 450 shares of the textile maker's stock valued at $30,000 after buying an additional 364 shares during the last quarter. IFP Advisors Inc grew its holdings in Skechers U.S.A. by 62.4% in the 4th quarter. IFP Advisors Inc now owns 825 shares of the textile maker's stock valued at $55,000 after buying an additional 317 shares in the last quarter. Venturi Wealth Management LLC increased its position in Skechers U.S.A. by 52.9% during the third quarter. Venturi Wealth Management LLC now owns 864 shares of the textile maker's stock worth $58,000 after acquiring an additional 299 shares during the period. Mirae Asset Global Investments Co. Ltd. bought a new position in shares of Skechers U.S.A. during the fourth quarter worth approximately $65,000. Finally, Brooklyn Investment Group bought a new position in Skechers U.S.A. during the 3rd quarter worth $67,000. 79.96% of the stock is currently owned by institutional investors.

Skechers U.S.A. Stock Performance

The stock has a 50 day moving average of $70.55 and a 200 day moving average of $66.48. The company has a quick ratio of 1.25, a current ratio of 1.96 and a debt-to-equity ratio of 0.01. The firm has a market cap of $9.97 billion, a price-to-earnings ratio of 15.92, a P/E/G ratio of 0.95 and a beta of 1.19.

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.