Wolverine World Wide
The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Wolverine World Wide met expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue improved, and GAAP earnings per share dropped.
Margins dropped across the board.
Wolverine World Wide recorded revenue of $406.5 million. The 10 analysts polled by S&P Capital IQ foresaw a top line of $407 million. Sales were 5.6% higher than the prior-year quarter's $385 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions.
Non-GAAP EPS came in at $0.47. The 10 earnings estimates compiled by S&P Capital IQ averaged $0.45 per share on the same basis. GAAP EPS of $0.47 for Q4 were 8.8% lower than the prior-year quarter's $0.52 per share.
Source: S&P Capital IQ. Quarterly periods. Figures may be non-GAAP to maintain comparability with estimates.
For the quarter, gross margin was 36.9%, 20 basis points worse than the prior-year quarter. Operating margin was 7.6%, 50 basis points worse than the prior-year quarter. Net margin was 5.7%, 100 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $343.2 million.
Next year's average estimate for revenue is $1.52 billion. The average EPS estimate is $2.70.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 154 members out of 164 rating the stock outperform, and 10 members rating it underperform. Among 56 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 55 give Wolverine World Wide a green thumbs-up, and one give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Wolverine World Wide is outperform, with an average price target of $43.
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Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.