Bulletin
Investor Alert

Market Pulse Archives

May 10, 2019, 11:14 a.m. EDT

Wolverine World Wide shares slump after weakness in the Sperry brand

new
Watchlist Relevance
LEARN MORE

Want to see how this story relates to your watchlist?

Just add items to create a watchlist now:

  • X
    Wolverine World Wide Inc. (WWW)
  • X
    S&P 500 Index (SPX)

or Cancel Already have a watchlist? Log In

By Tonya Garcia

Wolverine World Wide Inc. /zigman2/quotes/209231729/composite WWW +2.55% shares slumped 4.5% in Friday trading after the company reported weakness in its Sperry brand. Other brands in the Wolverine portfolio include Merrell, Saucony and Keds. Net income for the first quarter totaled $40.6 million, or 43 cents per share, down from $46.6 million, or 48 cents per share, last year. Adjusted EPS of 49 cents, was ahead of the 47-cent FactSet consensus. Sales totaled $523.4 million, down from $534.1 million and below $533.0 million FactSet expectation. "Four of our top-five brands delivered revenue above plan during the quarter, including Merrell and Saucony, and our owned e-commerce business continued to be robust, growing 28% over the prior year," said Blake Krueger, Wolverine's chief executive, in a statement. "This strength helped to offset some unforeseen challenges at Sperry and the late start to Spring which impacted certain product categories." Analysts are bullish, notwithstanding the miss. "Despite back-end weighted guidance, we are confident Wolverine will achieve top- and bottom-line FY19 objectives," wrote Susquehanna Financial Group analysts. "Headwinds faced in the first half should subside in second half." Susquehanna rates Wolverine shares positive, but lowered its price target to $41 from $43. Wolverine still expects revenue in the range of $2.28 billion to $2.33 billion, EPS between $2.00 and $2.15, and adjusted EPS between $2.20 and $2.35. FactSet expects revenue of $2.30 billion and EPS of $2.31. Wolverine stock has fallen 5% for the year to date while the S&P 500 index /zigman2/quotes/210599714/realtime SPX +0.06% is up 13% for the period.

/zigman2/quotes/209231729/composite
US : U.S.: NYSE
$ 23.73
+0.59 +2.55%
Volume: 482,869
Aug. 7, 2020 4:00p
P/E Ratio
34.33
Dividend Yield
1.69%
Market Cap
$1.93 billion
Rev. per Employee
$605,189
loading...
/zigman2/quotes/210599714/realtime
US : S&P US
3,351.28
+2.12 +0.06%
Volume: 2.28B
Aug. 7, 2020 5:10p
loading...

This Story has 0 Comments
Be the first to comment
More News In
Industries

Story Conversation

Commenting FAQs »
Link to MarketWatch's Slice.