Amelia Varela Takes Money Off The Table, Sells $638K In Steven Madden Stock

Disclosed on December 2, Amelia Varela, President at Steven Madden (NASDAQ:SHOO), executed a substantial insider sell as per the latest SEC filing.

What Happened: Varela opted to sell 15,000 shares of Steven Madden, according to a Form 4 filing with the U.S. Securities and Exchange Commission on Tuesday. The transaction's total worth stands at $638,838.

The latest update on Wednesday morning shows Steven Madden shares up by 0.96%, trading at $42.1.

About Steven Madden

Steven Madden Ltd designs and sells brand-name and private-label footwear and accessories. Its products are geared toward fashion-conscious adults and children. The company sells its products through department stores and other retailers as well as its stores and websites. The company's revenue comes from its operating segments: Wholesale Footwear, Wholesale Accessories or Apparel, Direct-to-Consumer, and Licensing. The wholesale footwear segment accounts for the majority of revenue.

Breaking Down Steven Madden's Financial Performance

Revenue Growth: Steven Madden's revenue growth over a period of 3 months has been noteworthy. As of 30 September, 2025, the company achieved a revenue growth rate of approximately 6.92%. This indicates a substantial increase in the company's 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.

Holistic Profitability Examination:

• Gross Margin: With a low gross margin of 41.53%, the company exhibits below-average profitability, signaling potential struggles in cost efficiency compared to its industry peers.

• Earnings per Share (EPS): Steven Madden's EPS lags behind the industry average, indicating concerns and potential challenges with a current EPS of 0.29.

Debt Management: Steven Madden's debt-to-equity ratio is below the industry average. With a ratio of 0.63, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.

Valuation Analysis:

• Price to Earnings (P/E) Ratio: Steven Madden's current Price to Earnings (P/E) ratio of 53.46 is higher than the industry average, indicating that the stock may be overvalued according to market sentiment.

• Price to Sales (P/S) Ratio: The Price to Sales ratio is 1.26, which is lower than the industry average. This suggests a possible undervaluation based on sales performance.

• EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): The company's EV/EBITDA ratio 27.02 is above the industry average, suggesting that the market values the company more highly for each unit of EBITDA. This could be attributed to factors such as strong growth prospects or superior operational efficiency.

Market Capitalization Analysis: Falling below industry benchmarks, the company's market capitalization reflects a reduced size compared to peers. This positioning may be influenced by factors such as growth expectations or operational capacity.

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Why Insider Activity Matters in Finance

Insightful as they may be, insider transactions should be considered alongside a thorough examination of other investment criteria.

Considering the legal perspective, an "insider" is defined as any officer, director, or beneficial owner holding more than ten percent of a company's equity securities, according to Section 12 of the Securities Exchange Act of 1934. This includes executives in the c-suite and major hedge funds. These insiders are mandated to disclose their transactions through a Form 4 filing, to be submitted within two business days of the transaction.

Pointing towards optimism, a company insider's new purchase signals their positive anticipation for the stock to rise.

Nevertheless, insider sells may not necessarily indicate a bearish view and can be influenced by various factors.

Understanding Crucial Transaction Codes

When dissecting transactions, the focal point for investors is often those occurring in the open market, meticulously detailed in Table I of the Form 4 filing. A P in Box 3 denotes a purchase, while S signifies a sale. Transaction code C indicates the conversion of an option, and transaction code A denotes a grant, award, or other acquisition of securities from the company.

Check Out The Full List Of Steven Madden's Insider Trades.

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