Wolverine World Wide
The 10-second takeaway
For the quarter ended Sep. 8 (Q3), Wolverine World Wide missed estimates on revenues and met expectations on earnings per share.
Compared to the prior-year quarter, revenue dropped slightly and GAAP earnings per share contracted significantly.
Margins contracted across the board.
Wolverine World Wide recorded revenue of $353.1 million. The nine analysts polled by S&P Capital IQ expected to see a top line of $362.5 million on the same basis. GAAP reported sales were 2.4% lower than the prior-year quarter's $361.6 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.72. The 10 earnings estimates compiled by S&P Capital IQ averaged $0.73 per share. GAAP EPS of $0.66 for Q3 were 20% lower than the prior-year quarter's $0.82 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 39.2%, 140 basis points worse than the prior-year quarter. Operating margin was 14.0%, 160 basis points worse than the prior-year quarter. Net margin was 9.3%, 190 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $661.4 million. On the bottom line, the average EPS estimate is $0.26.
Next year's average estimate for revenue is $1.65 billion. The average EPS estimate is $2.07.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 150 members out of 161 rating the stock outperform, and 11 members rating it underperform. Among 53 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 49 give Wolverine World Wide a green thumbs-up, and four give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Wolverine World Wide is hold, with an average price target of $45.63.
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