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How Does Caleres Stock Continue to Outperform the Market?

CAL has increased 7% just over the past month

Jun 21, 2022 at 11:39 AM
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Caleres, Inc. (NYSE:CAL) is an American footwear company that owns and operates a variety of footwear brands. CAL's portfolio includes brands like Famous Footwear, Sam Edelman, Naturalizer, Allen Edmonds, Vionic, Vince, Franco Sarto, Dr. Scholl’s Shoes, LifeStride, Blowfish Malibu, Bzees, Circus by Sam Edelman, and Ryka.

Caleres stock price has increased approximately 5% year-over-year and CAL is currently trading up 49% since bottoming at a 52-week low of $17.82. Additionally, shares of CAL have grown 14% year-to-date and are up 7% over the past month. However, Caleres stock is trading down 11% since jumping up for a 52-week high of $29.94.

The footwear company has already managed to increase their trailing 12-month revenues and net income by 3.4% and 32.2%, respectively, since fiscal 2022. In addition, Caleres is expected to produce 3.9% revenue growth and 1.2% earnings growth for fiscal 2023. CAL is also estimated to increase their revenues and earnings by 4% and 7.8%, respectively, for fiscal 2024. This signals an expected improvement in their growth rate.

Caleres stock continues to provide an attractive valuation at a price-earnings ratio of 5.65 and a price-sales ratio of 0.36, despite CAL holding its gains in a declining market. Caleres also offers a dividend yield of 1.05% with a forward dividend of $0.28. However, the business comes with a weak balance sheet. CAL currently owes $876.43 million in total debt and hold just $33.72 million in cash on their balance sheet, meaning Caleres stock could turn bearish if the risk-off sentiment continues in the market.

 

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