A Peek at Designer Brands's Future Earnings

Designer Brands DBI is set to give its latest quarterly earnings report on Wednesday, 2024-09-11. Here's what investors need to know before the announcement.

Analysts estimate that Designer Brands will report an earnings per share (EPS) of $0.57.

Investors in Designer Brands are eagerly awaiting the company's announcement, hoping for news of surpassing estimates and positive guidance for the next quarter.

It's worth noting for new investors that stock prices can be heavily influenced by future projections rather than just past performance.

Overview of Past Earnings

In the previous earnings release, the company missed EPS by $0.04, leading to a 2.74% drop in the share price the following trading session.

Here's a look at Designer Brands's past performance and the resulting price change:

Stock Performance

Shares of Designer Brands were trading at $6.01 as of September 09. Over the last 52-week period, shares are down 50.47%. Given that these returns are generally negative, long-term shareholders are likely unhappy going into this earnings release.

Analyst Views on Designer Brands

For investors, staying informed about market sentiments and expectations in the industry is paramount. This analysis provides an exploration of the latest insights on Designer Brands.

A total of 1 analyst ratings have been received for Designer Brands, with the consensus rating being Neutral. The average one-year price target stands at $9.0, suggesting a potential 49.75% upside.

Peer Ratings Comparison

In this analysis, we delve into the analyst ratings and average 1-year price targets of and Designer Brands, three key industry players, offering insights into their relative performance expectations and market positioning.

Insights: Peer Analysis

The peer analysis summary presents essential metrics for and Designer Brands, unveiling their respective standings within the industry and providing valuable insights into their market positions and comparative performance.

Key Takeaway:

Designer Brands is positioned in the middle among its peers for Consensus rating. It ranks in the middle for Revenue Growth. In terms of Gross Profit, it is at the top among its peers. For Return on Equity, Designer Brands is positioned in the middle compared to its peers.

Unveiling the Story Behind Designer Brands

Designer Brands Inc is a designer, producer, and retailer of footwear and accessories. The company operates in three reportable segments: the U.S. Retail segment, the Canada Retail segment, and the Brand Portfolio segment. The U.S. Retail segment operates the DSW Designer Shoe Warehouse banner through its direct-to-consumer U.S. stores and e-commerce site. The Canada Retail segment operates The Shoe Company and DSW banners through its direct-to-consumer Canada stores and e-commerce sites. The Brand Portfolio segment earns revenue from the sale of wholesale products to retailers, commissions for serving retailers as the design and buying agent for products under private labels, and the sale of branded products through its direct-to-consumer e-commerce sites.

Financial Milestones: Designer Brands's Journey

Market Capitalization Analysis: The company's market capitalization is below the industry average, suggesting that it is relatively smaller compared to peers. This could be due to various factors, including perceived growth potential or operational scale.

Positive Revenue Trend: Examining Designer Brands's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 0.61% as of 30 April, 2024, showcasing a substantial increase in top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Consumer Discretionary sector.

Net Margin: Designer Brands's net margin falls below industry averages, indicating challenges in achieving strong profitability. With a net margin of 0.1%, the company may face hurdles in effective cost management.

Return on Equity (ROE): Designer Brands's ROE is below industry standards, pointing towards difficulties in efficiently utilizing equity capital. With an ROE of 0.22%, the company may encounter challenges in delivering satisfactory returns for shareholders.

Return on Assets (ROA): Designer Brands's ROA is below industry averages, indicating potential challenges in efficiently utilizing assets. With an ROA of 0.04%, the company may face hurdles in achieving optimal financial returns.

Debt Management: The company faces challenges in debt management with a debt-to-equity ratio higher than the industry average. With a ratio of 3.61, caution is advised due to increased financial risk.

To track all earnings releases for Designer Brands visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.