Caleres (CAL) Q2 Earnings: What To Expect

Footwear company Caleres (NYSE:CAL) will be reporting results tomorrow morning. Here’s what investors should know.

Caleres met analysts’ revenue expectations last quarter, reporting revenues of $659.2 million, flat year on year. It was a solid quarter for the company, with optimistic earnings guidance for the next quarter and a narrow beat of analysts’ operating margin estimates.

Is Caleres a buy or sell going into earnings? Read our full analysis here, it’s free.

This quarter, analysts are expecting Caleres’s revenue to grow 4.1% year on year to $723.8 million, a reversal from the 5.8% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.22 per share.

The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Caleres has missed Wall Street’s revenue estimates four times over the last two years.

Looking at Caleres’s peers in the footwear segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Genesco posted flat year-on-year revenue, beating analysts’ expectations by 2.5%, and Wolverine Worldwide reported a revenue decline of 18.4%, topping estimates by 3.4%. Genesco traded down 12.6% following the results while Wolverine Worldwide was also down 6%.

Read our full analysis of Genesco’s results here and Wolverine Worldwide’s results here.

There has been positive sentiment among investors in the footwear segment, with share prices up 6.9% on average over the last month. Caleres is up 1.1% during the same time and is heading into earnings with an average analyst price target of $44.7 (compared to the current share price of $37.05).

Here at StockStory, we certainly understand the potential of thematic investing. Diverse winners from Microsoft (MSFT) to Alphabet (GOOG), Coca-Cola (KO) to Monster Beverage (MNST) could all have been identified as promising growth stories with a megatrend driving the growth. So, in that spirit, we’ve identified a relatively under-the-radar profitable growth stock benefitting from the rise of AI, available to you FREE via this link.