Will Shoe Carnival Meet Wall Street's Earnings Projections?

Will Shoe Carnival Deliver on Analyst Earnings Estimates?

Seaport Research Partners has projected Shoe Carnival's earnings per share (EPS) for the first quarter of 2025 at $0.60, in line with the consensus estimate. However, analysts remain divided on the company's future earnings potential, with some predicting stronger growth and others expressing caution.

Optimistic Outlook for Future Earnings

Seaport Research Partners has provided earnings estimates for Shoe Carnival through fiscal 2027, forecasting a gradual increase in EPS. The firm anticipates EPS of $0.81 for Q2 2025, $0.74 for Q3 2025, $0.50 for Q4 2025, $2.65 for FY2025, $3.00 for FY2026, and $3.34 for FY2027. These projections suggest a positive long-term trajectory for the company.

Mixed Analyst Sentiment

Monness Crespi & Hardt downgraded Shoe Carnival to "neutral" from "buy," citing concerns about macroeconomic headwinds. Conversely, Williams Trading upgraded the stock to "buy" from "hold," setting a price target of $40.00. This divergence in analyst sentiment reflects the uncertainty surrounding the company's future performance.

Market Performance and Valuation

Shoe Carnival's stock price has fluctuated in recent months, opening at $36.31 on Monday. The company's market capitalization stands at $985.09 million, with a price-to-earnings (PE) ratio of 13.55 and a beta of 1.54. Its 50-day and 200-day moving averages are $29.43 and $26.55, respectively.

Recent Quarterly Results

Shoe Carnival reported quarterly earnings of $0.59 per share on March 21st, meeting consensus estimates. The company's revenue of $280.20 million slightly missed expectations of $280.30 million. Its return on equity (ROE) was 13.17%, while its net margin was 6.24%. Revenue declined by 3.6% year-over-year, and EPS was lower than the $0.79 reported in the same quarter last year.

Dividend Increase and Institutional Interest

Shoe Carnival recently announced a quarterly dividend of $0.135 per share, payable on April 22nd to shareholders of record as of April 8th. This represents an increase from the previous dividend of $0.12, boosting the annualized dividend to $0.54 and the dividend yield to 1.49%. Institutional investors have also shown interest in the company, with Vanguard Group increasing its position by 4.6% and Barclays PLC by 19.9% in the fourth quarter.

Company Overview

Shoe Carnival operates as a family footwear retailer in the United States, offering a range of footwear and accessories for men, women, and children. The company also sells products through its online platform, shoecarnival.com, and mobile application.