Decoding 4 Analyst Evaluations For Designer Brands

In the latest quarter, 4 analysts provided ratings for Designer Brands DBI, showcasing a mix of bullish and bearish perspectives.

The table below offers a condensed view of their recent ratings, showcasing the changing sentiments over the past 30 days and comparing them to the preceding months.

Analysts have set 12-month price targets for Designer Brands, revealing an average target of $7.62, a high estimate of $10.00, and a low estimate of $5.50. A decline of 21.85% from the prior average price target is evident in the current average.

Exploring Analyst Ratings: An In-Depth Overview

The perception of Designer Brands by financial experts is analyzed through recent analyst actions. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Designer Brands. This information offers a snapshot of how analysts perceive the current state of the company.
• Rating: Unveiling insights, analysts deliver qualitative insights into stock performance, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Designer Brands compared to the broader market.
• Price Targets: Analysts set price targets as an estimate of a stock's future value. Comparing the current and prior price targets provides insight into how analysts' expectations have changed over time. This information can be valuable for investors seeking to understand consensus views on the stock's potential future performance.

Considering these analyst evaluations in conjunction with other financial indicators can offer a comprehensive understanding of Designer Brands's market position. Stay informed and make well-informed decisions with our Ratings Table.

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Discovering Designer Brands: A Closer Look

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.

Designer Brands: A Financial Overview

Market Capitalization: With restricted market capitalization, the company is positioned below industry averages. This reflects a smaller scale relative to peers.

Revenue Growth: Designer Brands's revenue growth over a period of 3 months has been noteworthy. As of 30 April, 2024, the company achieved a revenue growth rate of approximately 0.61%. This indicates a substantial increase in the company's top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Consumer Discretionary sector.

Net Margin: Designer Brands's net margin lags behind industry averages, suggesting challenges in maintaining 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 averages, indicating potential challenges in efficiently utilizing equity capital. With an ROE of 0.22%, the company may face hurdles in achieving optimal financial returns.

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: Designer Brands's debt-to-equity ratio surpasses industry norms, standing at 3.61. This suggests the company carries a substantial amount of debt, posing potential financial challenges.

How Are Analyst Ratings Determined?

Analyst ratings serve as essential indicators of stock performance, provided by experts in banking and financial systems. These specialists diligently analyze company financial statements, participate in conference calls, and engage with insiders to generate quarterly ratings for individual stocks.

Beyond their standard evaluations, some analysts contribute predictions for metrics like growth estimates, earnings, and revenue, furnishing investors with additional guidance. Users of analyst ratings should be mindful that this specialized advice is shaped by human perspectives and may be subject to variability.

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