CAL

Toro (TTC) came out with quarterly earnings of $1.33 per share, beating the Zacks Consensus Estimate of $1.3 per share. This compares to earnings of $1.24 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +2.31%. A quarter ago, it was expected that this landscaping, maintenance and irrigation equipment maker would post earnings of $1.5 per share when it actually produced earnings of $1.6, delivering a surprise of +6.67%. Over the last four quarters, the company has surpassed consensus EPS estimates four times. Toro, which belongs to the Zacks Tools - Handheld industry, posted revenues of $1.23 billion for the quarter ended July 2026, surpassing the Zacks Consensus Estimate by 3.05%. This compares to year-ago revenues of $1.13 billion. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Toro shares have added about 26% since the beginning of the year versus the S&P 500's gain of 12%. While Toro has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Toro was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.97 on $1.12 billion in revenues for the coming quarter and $4.60 on $4.77 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Tools - Handheld is currently in the top 40% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Another stock from the broader Zacks Consumer Discretionary sector, Caleres Inc. (CAL), has yet to report results for the quarter ended July 2026. The results are expected to be released on September 9. This footwear wholesaler and retailer is expected to post quarterly earnings of $0.37 per share in its upcoming report, which represents a year-over-year change of +5.7%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. Caleres Inc.'s revenues are expected to be $702.5 million, up 6.7% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Toro Company (The) (TTC) : Free Stock Analysis Report Caleres, Inc. (CAL) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

The market expects Caleres Inc. (CAL) to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended July 2026. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates. The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on September 9. On the other hand, if they miss, the stock may move lower. While the sustainability of the immediate price change and future earnings expectations will mostly depend on management's discussion of business conditions on the earnings call, it's worth handicapping the probability of a positive EPS surprise. This footwear wholesaler and retailer is expected to post quarterly earnings of $0.37 per share in its upcoming report, which represents a year-over-year change of +5.7%. Revenues are expected to be $702.5 million, up 6.7% from the year-ago quarter. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period. Investors should keep in mind that an aggregate change may not always reflect the direction of estimate revisions by each of the covering analysts. Price, Consensus and EPS Surprise Estimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. Our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction) -- has this insight at its core. The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier. Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only. A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP. Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell). For Caleres Inc., the Most Accurate Estimate is lower than the Zacks Consensus Estimate, suggesting that analysts have recently become bearish on the company's earnings prospects. This has resulted in an Earnings ESP of -2.70%. On the other hand, the stock currently carries a Zacks Rank of #4. So, this combination makes it difficult to conclusively predict that Caleres Inc. will beat the consensus EPS estimate. While calculating estimates for a company's future earnings, analysts often consider to what extent it has been able to match past consensus estimates. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number. For the last reported quarter, it was expected that Caleres Inc. would post earnings of $0.37 per share when it actually produced earnings of $0.38, delivering a surprise of +2.70%. Over the last four quarters, the company has beaten consensus EPS estimates two times. An earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss. That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported. Caleres Inc. doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release. Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Caleres, Inc. (CAL) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Birkenstock (BIRK) came out with quarterly earnings of $0.86 per share, missing the Zacks Consensus Estimate of $0.87 per share. This compares to earnings of $0.7 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of -1.15%. A quarter ago, it was expected that this sandal maker would post earnings of $0.7 per share when it actually produced earnings of $0.59, delivering a surprise of -15.71%. Over the last four quarters, the company has surpassed consensus EPS estimates just once. Birkenstock, which belongs to the Zacks Shoes and Retail Apparel industry, posted revenues of $836.48 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 1.66%. This compares to year-ago revenues of $720.54 million. The company has topped consensus revenue estimates two times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Birkenstock shares have lost about 10.2% since the beginning of the year versus the S&P 500's gain of 13.2%. While Birkenstock has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Birkenstock was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.54 on $694.49 million in revenues for the coming quarter and $2.27 on $2.7 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Shoes and Retail Apparel is currently in the top 39% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. One other stock from the same industry, Caleres Inc. (CAL), is yet to report results for the quarter ended July 2026. This footwear wholesaler and retailer is expected to post quarterly earnings of $0.38 per share in its upcoming report, which represents a year-over-year change of +8.6%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. Caleres Inc.'s revenues are expected to be $705.67 million, up 7.2% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Birkenstock Holding PLC (BIRK) : Free Stock Analysis Report Caleres, Inc. (CAL) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Carter’s, Inc. CRI delivered a better-than-expected second-quarter fiscal 2026 performance, supported by retail gains, wholesale strength and productivity initiatives. However, investors must assess how much of the recent improvement reflects sustainable operating momentum versus temporary benefits from tariff recoveries and cost actions.The company currently carries a Zacks Rank #2 (Buy) and a VGM Score of A. Its Style Scores include a Value Score of A, Growth Score of B and Momentum Score of A. Shares have gained 25% over the past three months, outperforming the industry. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Image Source: Zacks Investment Research Carter’s reported adjusted earnings of 26 cents per share in the second quarter, topping the Zacks Consensus Estimate of 2 cents and increasing 52.9% year over year. Net sales rose 5.2% to $615.5 million, exceeding the consensus mark of $609 million.Growth was broad-based across the company’s segments. U.S. Retail sales increased 1.7% year over year, with comparable sales rising 5.1% for the fifth consecutive quarter. U.S. Wholesale sales jumped 11.7%, helped by earlier fall product shipments, while International sales increased 2.7%, supported by gains in Canada and Mexico.Adjusted operating income increased 54.1% to $18.1 million, as productivity and supply-chain initiatives offset tariff costs, marketing investments and inflationary pressures. Adjusted SG&A declined 1.1%, with store closures and efficiency actions helping generate nearly 300 basis points of expense leverage. Carter's, Inc. price-consensus-chart | Carter's, Inc. Quote A key factor behind Carter’s improved financial position was the recovery of $132 million in previously paid import duties and related interest. The benefit included $128 million recorded through gross profit and $4 million recorded as interest income.The tariff recovery significantly increased reported earnings, but adjusted results provide a clearer view of underlying operations. Reported operating income surged to $139.8 million from $4 million in the prior-year quarter, while adjusted operating income increased to $18.1 million from $11.8 million.The company continues to face tariff-related uncertainty. Incremental tariff costs reduced second-quarter gross profit by about $28 million before mitigation efforts. Management noted that new Section 301 tariffs represent an incremental 10% to 12.5% above Carter’s historical tariff baseline, although current rates could provide some upside versus previous assumptions if they remain unchanged. Carter’s improving sales trends are encouraging, but management has moderated expectations for the second half of 2026. The company revised its full-year sales outlook to 2%-3% growth, citing lighter-than-planned second-half wholesale demand and more cautious consumer behavior around pricing.Wholesale demand remains a key variable. While second-quarter wholesale sales benefited from customers pulling forward fall merchandise, some partners adopted more conservative inventory plans for the second half. Management expects full-year wholesale sales growth in the low-single-digit range.Consumer pricing power also remains under pressure. Carter’s noted that broader market data showed price resistance and lower unit velocity at higher prices, prompting the company to moderate its average unit retail assumptions. Caleres CAL operates in the footwear retail space, making it a comparable name within the broader retail apparel and footwear industry, while Steven Madden, Ltd. SHOO competes in branded footwear and accessories, providing a comparison point for Carter’s valuation and retail execution. Carter’s continues to invest in its omnichannel strategy. U.S. e-commerce comparable sales increased at a double-digit rate in the quarter, supported by higher traffic, improved customer engagement and digital enhancements such as AI-optimized product reviews and improved consumer chat functionality.The company also continues to benefit from brand recognition in children’s apparel, including Carter’s and OshKosh B’gosh. Its portfolio spans company-operated stores, e-commerce platforms, wholesale relationships and international channels. CRI trades at 12.34X forward 12-month earnings, below the Zacks sub-industry average of 19.67X and the S&P 500 multiple of 20.8X. The five-year median forward earnings multiple for the stock is 11.29X. Image Source: Zacks Investment Research The valuation reflects both the company’s improving fundamentals and the risks surrounding tariff costs, consumer spending and earnings normalization after the tariff recovery benefit. Carter’s second-quarter results demonstrated meaningful operational progress, with retail momentum, improved productivity and better liquidity supporting the business. However, investors should focus on whether earnings growth can continue after the impact of tariff recoveries fades.The company’s ability to sustain comparable sales growth, protect margins and manage consumer sensitivity to pricing will likely determine whether recent gains represent a longer-term recovery trend or a temporary improvement. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Carter's, Inc. (CRI) : Free Stock Analysis Report Steven Madden, Ltd. (SHOO) : Free Stock Analysis Report Caleres, Inc. (CAL) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Caleres delivered first quarter results that exceeded Wall Street’s revenue and profit expectations, with particular strength in its Brand Portfolio segment. Management credited broad-based growth across key brands, improved product mix, and operational efficiencies as the primary factors behind the quarter’s positive outcome. CEO Jay Schmidt noted that Sam Edelman and Allen Edmonds posted robust gains, while international business and direct-to-consumer channels also contributed. Schmidt emphasized the importance of recent structural changes, including new centers of expertise in digital, marketing, and planning, which supported margin expansion across the portfolio. The Famous Footwear segment, however, faced softer consumer demand and a challenging macroeconomic backdrop, partially offset by strong e-commerce performance and continued progress on elevating store formats and product assortments. Is now the time to buy CAL? Find out in our full research report (it’s free). Revenue: $666.6 million vs analyst estimates of $658 million (8.5% year-on-year growth, 1.3% beat) Adjusted EPS: $0.38 vs analyst estimates of $0.37 (2.7% beat) Management raised its full-year Adjusted EPS guidance to $1.53 at the midpoint, a 1.7% increase Operating Margin: 3.4%, up from 2.1% in the same quarter last year Market Capitalization: $461.5 million While we enjoy listening to the management’s commentary, our favorite part of earnings calls is the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention. Mitchel Kummetz (Seaport Research Partners) asked about changes in guidance by operating group. CEO Jay Schmidt and CFO Daniel Karpel explained stronger Brand Portfolio momentum offset by a more conservative outlook for Famous Footwear due to recent softness. Mitchel Kummetz (Seaport Research Partners) queried whether Famous Footwear’s soft trends continued into May and the company’s expectations for back-to-school season. Karpel said the guidance assumes better performance during peak periods, with continued conservatism for the rest of the year. Mitchel Kummetz (Seaport Research Partners) questioned the drivers behind the improved gross margin guidance. Karpel cited favorable brand mix, tariff mitigation, and cycling past last year’s markdowns as key factors, with most improvement expected from the Brand Portfolio. Dana Telsey (Telsey Advisory Group) inquired about changing consumer preferences between fashion and sneakers and the impact on Brand Portfolio and Famous Footwear. Schmidt observed a shift toward fashion categories, particularly dress and sandals, benefiting the company’s premium brands. Dana Telsey (Telsey Advisory Group) asked about the handling of potential tariff refunds and rising energy costs. Karpel stated tariff refunds are not included in guidance due to legal uncertainty, while Schmidt noted the company is working to offset energy-driven freight costs through operational adjustments. In the coming quarters, the StockStory team will monitor (1) sustained growth and margin expansion in the Brand Portfolio, particularly from lead brands and international markets, (2) Famous Footwear’s performance during key seasonal events such as back-to-school, and (3) the company’s ability to manage tariff and inflationary pressures through sourcing and inventory strategies. Success in digital channels and execution of new store formats will also be critical to track. Caleres currently trades at $13.73, down from $14.12 just before the earnings. Is the company at an inflection point that warrants a buy or sell? Find out in our full research report (it’s free for active Edge members). ONE MORE THING: Top 6 Stocks for This Week. This market is separating quality stocks from expensive ones fast. AI is taking down whole sectors with no warning. In a rotation this fast, you need more than a list of good companies. Our AI system flagged Palantir before it ran 1,662%. AppLovin before it ran 753%. Nvidia before it ran 1,178%. Each week it produces 6 new names that pass the same tests. Get Our Top 6 Stocks for Free HERE. Stocks that have made our list include now familiar names such as Nvidia (+1,326% between June 2020 and June 2025) as well as under-the-radar businesses like the once-small-cap company Exlservice (+354% five-year return). Find your next big winner with StockStory today.

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Performance was driven by the Brand Portfolio segment, where Lead Brands grew 7% organically and most brands delivered simultaneous revenue and profit growth. Management attributed significant gross margin expansion to favorable brand and channel mix, disciplined inventory control, and successful tariff mitigation efforts. The company established new 'centers of expertise' in international, digital, and marketing operations to drive structural efficiency and capture synergies from the Stuart Weitzman integration. Famous Footwear faced a more challenging environment due to a softer consumer backdrop and accelerated inflation, which pressured traffic and sales particularly in April. Strategic 'Elevate-and-Edit' initiatives at Famous Footwear showed promise, with sales of elevated products increasing nearly 50% and penetration reaching almost 20%. The FLAIR store remodel format continues to outperform the broader fleet, with recently converted stores seeing a 9-point sales lift compared to non-FLAIR locations. Management noted a consumer shift toward fashion footwear, including dress shoes and sandals, which benefited the Brand Portfolio's diverse category offerings. Fiscal 2026 is characterized as a 'build-back year' with expectations for modest organic sales growth and meaningful earnings recovery. Guidance assumes new tariffs will be enacted in July 2026 to replace prior IEEPA tariffs, reflecting a prudent approach to an uncertain regulatory environment. The company expects Stuart Weitzman to reach breakeven in fiscal 2026, supported by improved inventory health and closer alignment with global brand positioning. Second quarter outlook anticipates mid-to-high single-digit consolidated sales growth, though Famous Footwear is expected to remain down mid-single digits. Management is shifting focus toward FLAIR store openings rather than just remodels, citing higher returns on new locations with a target of 65 total FLAIR sites by year-end. The company is eligible for approximately $57.8 million plus interest in refunds related to invalidated IEEPA tariffs, though these are not yet reflected in guidance. Stuart Weitzman integration onto Caleres platforms was completed in February with minimal disruption, contributing $43.9 million in sales during the quarter. Inventory levels, excluding Stuart Weitzman, were down $23 million year-over-year, reflecting a strategic focus on inventory health and markdown reduction. Management flagged potential risks from elevated inflation and economic slowdown, which are factored into the low end of the annual guidance range. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management shifted the sales mix in the guidance to reflect sustained momentum in the Brand Portfolio while adopting a more realistic, conservative outlook for Famous Footwear. The softness at Famous Footwear in March and April led to a mid-single-digit decline projection for Q2, though peak periods like back-to-school are expected to remain strong. The significant step-up in Brand Portfolio margins is driven by structural improvements, channel mix, and a lighter current tariff environment compared to the previous year. Famous Footwear margins are expected to be flat to slightly down for the year as the company remains thoughtful about clearance and inventory control. Management observed a return to dress shoes and flats, noting that consumers are shopping across more categories rather than focusing solely on sneakers. The sneaker business in the Brand Portfolio was down mid-single digits, which management views as a healthy shift toward a more balanced fashion footwear mix. The $57 million in potential tariff refunds is being treated as a 'gain contingency' and will only be reported upon collection; it is excluded from current earnings guidance. Rising energy and gas prices are being monitored for their impact on freight and product movement, with management building some flexibility into the guidance to absorb these costs.

Caleres kicked off fiscal 2026 on a high note after beating earnings guidance for the second quarter in a row and returning to earnings growth. On Thursday, the St. Louis-based company reported net sales in the first quarter of fiscal 2026 totaled $666.6 million, up 8.5 percent from $614.2 million the same time last year. Net sales in the period excluding Stuart Weitzman, the company’s newest brand, were $622.7 million. More from WWD PVH Lowers Sales Outlook Citing Impact of War in Iran Rent the Runway Updates Leadship as Q1 Sales Jump Destination XL Calls Off Planned Merger With FullBeauty Net earnings in Q1 were $14.3 million, or 42 cents per diluted share, compared to net earnings of $6.9 million, or 21 cents per diluted share, last year. These results were largely in-line with analyst expectations, which called for net sales in Q1 between $666.9 million and $667 million, with net earnings of 37 cents per share, according to Yahoo Finance. Plus, Caleres beat its own earnings guidance in the quarter, which called for earnings per share of between 25 cents to 30 cents in the period. By segment, Famous Footwear saw net sales decrease 2.5 percent versus the year-ago period, with comparable sales down 2.3 percent. Caleres’ brand portfolio division reported a net sales increase of 20.6 percent in the period. (Excluding Stuart Weitzman, net sales in the brand portfolio increased 5.8 percent.) Jay Schmidt, president and chief executive officer of Caleres, said in a statement that the quarter’s performance reflected the strength of its strategic growth vectors and broad-based momentum across the brand portfolio. “Within brand portfolio, we delivered growth across channels and geographies, with lead brands continuing to outperform, meaningful gross margin expansion, and further cross-category market share gains,” Schmidt noted. “At Famous Footwear, while results were more challenging amid a softer consumer and macroeconomic backdrop, we grew our e-commerce business, made progress with our elevate-and-edit strategy, delivered even stronger outperformance from our Flair stores, and gained slight market share in shoe chains both overall and in kids.” The CEO added that the first quarter was an “encouraging first step” toward a build-back year for Caleres. “We continue to expect modest sales growth and meaningful earnings growth in 2026,” he continued. “Our brand portfolio momentum has strengthened, with profitability supported by favorable mix, successful tariff mitigation actions, and disciplined execution.” For the balance of the year, Schmidt noted that the company is focused on maximizing the strong sales and earnings trends in its brand portfolio, improving Stuart Weitzman earnings, and elevating product and enhancing shopping experiences at Famous Footwear. Looking ahead, Caleres expects second quarter consolidated net sales to increase mid-to-high-single digits versus last year. Brand portfolio sales are anticipated to increase in the mid-twenties’ percent range, with low-double-digit organic growth in Q2, while Famous Footwear sales and comparable sales are expected to be down mid-single digits. Earnings per share in the second quarter are expected to be between 32 cents and 38 cents. As for the full year 2026, the company anticipates total sales to increase low-to-mid-single digits, with earnings per share between $1.44 and $1.69. “Longer term, we believe that disciplined execution of our strategic plans will improve financial performance and create long-term value for our shareholders,” Schmidt said. Best of WWD Zendaya's Best Christian Louboutin 'So Kate' Heels Moments All the Retailers That Nike Left and Then Went Back Mikey Madison's Elegant Red Carpet Shoe Style [PHOTOS] Sign up for FN's Newsletter. For the latest news, follow us on Facebook, Twitter, and Instagram.

First quarter adjusted EPS exceeds guidance. Reported first quarter net sales of $667 million, up 8.5%. Grew market share in Total Footwear, with gains in Women’s Fashion Footwear and Shoe Chains. GAAP earnings per diluted share were $0.42. Adjusted earnings per diluted share were $0.38. Expects second quarter 2026 consolidated net sales up mid-to-high-single digits, with GAAP earnings per diluted share of $0.32 to $0.38. Expects full-year 2026 consolidated net sales up low-to-mid-single digits and GAAP earnings per diluted share of $1.44 to $1.69, with adjusted earnings per diluted share of $1.40 to $1.65 versus prior guidance of $1.35 to $1.65. ST. LOUIS, June 04, 2026--(BUSINESS WIRE)--Caleres (NYSE: CAL), a market-leading portfolio of consumer-driven footwear brands, today reported financial results for the first quarter 2026. "We were pleased to report first quarter sales at the top end and earnings ahead of our guidance, reflecting the strength of our strategic growth vectors and broad-based momentum across our Brand Portfolio," said Jay Schmidt, president and chief executive officer. "Within Brand Portfolio, we delivered growth across channels and geographies, with Lead Brands continuing to outperform, meaningful gross margin expansion, and further cross-category market share gains. At Famous Footwear, while results were more challenging amid a softer consumer and macroeconomic backdrop, we grew our e-Commerce business, made progress with our elevate-and-edit strategy, delivered even stronger outperformance from our FLAIR stores, and gained slight market share in Shoe Chains both overall and in Kids." "The first quarter was an encouraging first step toward a build-back year for Caleres. We continue to expect modest sales growth and meaningful earnings growth in 2026. Our Brand Portfolio momentum has strengthened, with profitability supported by favorable mix, successful tariff mitigation actions, and disciplined execution. For the balance of the year, we are focused on maximizing the strong sales and earnings trends in our Brand Portfolio, improving Stuart Weitzman earnings, and elevating product and enhancing shopping experiences at Famous Footwear. Longer term, we believe that disciplined execution of our strategic plans will improve financial performance and create long-term value for our shareholders." First Quarter 2026 Results (13 weeks ended May 2, 2026, compared to 13 weeks ended May 3, 2025) Net sales were $666.6 million, up 8.5% versus first quarter 2025, and $622.7 million when excluding Stuart Weitzman, up 1.4% versus first quarter 2025. Gross profit was $315.5 million with gross margin of 47.3%, up 200 basis points to last year. Excluding Stuart Weitzman, adjusted gross profit was $291.2 million, with adjusted gross margin of 46.8%, up 140 basis points to last year. Selling and administrative expenses were $293.7 million, or 44.1% of net sales, deleveraged 70 basis points to last year, primarily reflecting $25.6 million in expenses related to Stuart Weitzman. Excluding Stuart Weitzman, selling and administrative expenses were $268.1 million, or 43.1% of net sales, down 30 basis points to last year. GAAP net earnings were $14.3 million, or $0.42 per diluted share, compared to $6.9 million, or $0.21 per diluted share, last year. Adjusted net earnings were $12.7 million, or $0.38 per diluted share, compared to adjusted net earnings of $7.4 million, or $0.22 per diluted share, last year. Inventory was $609.1 million at quarter-end, up $35 million to last year. Excluding Stuart Weitzman, inventory was down $22.7 million. Borrowings under the asset-based revolving credit facility were $347.5 million at quarter-end, and liquidity was $229.2 million. Second Quarter & Full Year Outlook For second quarter 2026, we expect consolidated net sales to increase mid-to-high-single digits versus last year. Brand Portfolio sales are anticipated to increase in the mid-twenties percent range, with low-double-digit organic growth. Famous Footwear sales and comparable sales are expected to be down mid-single digits. Gross margin is expected to improve 345 to 375 basis points, reflecting tariff mitigation efforts and lower current tariff rates. We anticipate a second quarter tax rate of 26% to 27%. We expect GAAP earnings per diluted share of $0.32 to $0.38. For full-year 2026, we anticipate total sales to increase low-to-mid-single digits. Brand Portfolio sales are expected to be up low-double digits, and mid-single digits organically. Famous Footwear sales and comparable sales are expected to be down low-to-mid-single digits. Consolidated gross margin is expected to improve 220 to 260 basis points. We anticipate interest expense of approximately $18 million, a full-year tax rate of 27% to 28%, and capital expenditures of $50 to $55 million. We expect GAAP earnings per diluted share of $1.44 to $1.69, and adjusted earnings per diluted share of $1.40 to $1.65. Investor Conference Call Caleres will host a conference call at 10:00 a.m. ET today, Thursday, June 4, 2026. The webcast and associated slides will be available at investor.caleres.com/events-and-presentations. A live conference call will be available at (877) 704-4453 for North America participants or (201) 389-0920 for international participants; no passcode necessary. A replay will also be available at investor.caleres.com/events-and-presentations for a limited period. Investors can access the replay through June 18, 2026, by dialing (844) 512-2921 in North America or (412) 317-6671 internationally and using the pin 13760681. About Caleres Caleres is a market-leading portfolio of global footwear brands that includes Famous Footwear, Sam Edelman, Stuart Weitzman, Allen Edmonds, Naturalizer and Vionic. Our products are available virtually everywhere — in the ~1,000 retail stores we operate, in hundreds of major department and specialty stores, on our branded e-Commerce sites, and on many additional third-party retail websites. Combined, these brands make Caleres a company with both a legacy and a mission. Our legacy is nearly 150 years of craftsmanship and our passion for fit, while our mission is to continue to inspire people to feel great… feet first. Visit caleres.com to learn more about us. Definitions All references in this press release, outside of the condensed consolidated financial statements that follow, unless otherwise noted, related to net earnings attributable to Caleres, Inc. and diluted earnings per common share attributable to Caleres, Inc. shareholders, are presented as net earnings and earnings per diluted share, respectively. Non-GAAP Financial Measures In this press release, the company’s financial results are provided both in accordance with generally accepted accounting principles (GAAP) and using certain non-GAAP financial measures. In particular, the company provides estimated and future gross profit, operating earnings (loss), net earnings and earnings per diluted share, adjusted to exclude certain gains, charges and recoveries and the financial results of the acquired Stuart Weitzman business, which are non-GAAP financial measures. These results are included as a complement to results provided in accordance with GAAP because management believes these non-GAAP financial measures help identify underlying trends in the company’s business and provide useful information to both management and investors by excluding certain items that may not be indicative of the company’s core operating results. These measures should not be considered a substitute for or superior to GAAP results. Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995 This press release contains certain forward-looking statements and expectations regarding the company’s future performance and the performance of its brands. Such statements are subject to various risks and uncertainties that could cause actual results to differ materially. These risks include (i) changes in United States and international trade policies, including tariffs and trade restrictions; (ii) changing consumer demands, which may be influenced by general economic conditions and other factors; (iii) inflationary pressures and supply chain disruptions; (iv) rapidly changing consumer preferences and purchasing patterns and fashion trends; (v) supplier concentration, customer concentration and increased consolidation in the retail industry; (vi) intense competition within the footwear industry; (vii) foreign currency fluctuations; (viii) political and economic conditions or other threats to the continued and uninterrupted flow of inventory from China and other countries, where the company relies heavily on third-party manufacturing facilities for a significant amount of its inventory; (ix) transitional challenges with acquisitions and divestitures; (x) cybersecurity threats or other major disruption to the company’s information technology; (xi) the ability to accurately forecast sales and manage inventory levels; (xii) a disruption in the company’s distribution centers; (xiii) the ability to recruit and retain senior management and other key associates; (xiv) the ability to secure/exit leases on favorable terms; (xv) changes to tax laws, policies and treaties; (xvi) our commitments and shareholder expectations related to responsible business initiatives; (xvii) compliance with applicable laws and standards with respect to labor, trade and product safety issues; and (xviii) the ability to attract, retain, and maintain good relationships with licensors and protect our intellectual property rights. The company's reports to the Securities and Exchange Commission contain detailed information relating to such factors, including, without limitation, the information under the caption Risk Factors in Item 1A of the company’s Annual Report on Form 10-K for the year ended January 31, 2026, which information is incorporated by reference herein and updated by the company’s Quarterly Reports on Form 10-Q. The company does not undertake any obligation or plan to update these forward-looking statements, even though its situation may change. View source version on businesswire.com: https://www.businesswire.com/news/home/20260604758601/en/ Contacts Investor ContactLiz [email protected]

This article first appeared on GuruFocus. Sales: $667 million, up 8.5% year-over-year. Organic Sales Growth: 1.4% excluding Stuart Weitzman. Stuart Weitzman Sales: $43.9 million. Brand Portfolio Sales Growth: 5.8% on an organic basis, 20.6% including Stuart Weitzman. Famous Footwear Sales Decline: 2.5% with comparable sales down 2.3%. Gross Margin: 47.3%, up 200 basis points from last year. Brand Portfolio Gross Margin: 49%, up 520 basis points. Famous Footwear Gross Margin: 43.8%, down 150 basis points. SG&A Expenses: $293.7 million, up 10.2%. Operating Earnings: $21.7 million with an operating margin of 3.3%. Net Interest Expense: $4.7 million. Earnings Per Share (EPS): $0.38, compared to $0.22 last year. Cash and Cash Equivalents: $37.7 million. Inventory: $609.1 million, up $35 million year-over-year. Store Locations: 812, with 10 closures and 1 opening during the quarter. Warning! GuruFocus has detected 4 Warning Signs with BF.A. Is CAL fairly valued? Test your thesis with our free DCF calculator. Release Date: June 04, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Earnings per share exceeded guidance, driven by strong sales and gross margin results in the brand portfolio segment. The brand portfolio demonstrated broad growth across channels and geographies, with significant gross margin expansion. Famous Footwear saw strong e-commerce growth with sales up nearly 10%. Sam Edelman delivered double-digit top-line growth both domestically and internationally. Allen Edmonds brand delivered nearly 20% first-quarter sales growth with broad-based momentum across the business. Famous Footwear faced challenges amid a softer consumer and macroeconomic backdrop, with total sales decreasing 2.5%. Consolidated SG&A expenses increased by 10.2%, driven by expenses related to Stuart Weitzman. Famous Footwear's gross margin decreased by 150 basis points due to higher markdowns and shipping costs. The sneaker business in the brand portfolio was down about mid-single digits compared to last year. The company faces an uncertain tariff environment, with potential new tariffs expected to be enacted in July 2026. Q: The full-year sales guide hasn't changed, but you changed your outlook by operating group. Can you explain the changes by operating group in terms of guidance? A: Jay Schmidt, President and CEO, explained that the brand portfolio is showing strength and optimism, while Famous Footwear's guidance has been adjusted to reflect current trends. Daniel Karpel, CFO, added that the brand portfolio's momentum offsets the softer performance at Famous Footwear, ensuring balanced sales guidance. Q: Has the softness in Famous Footwear continued into May, and what are your assumptions for back-to-school sales? A: Daniel Karpel, CFO, noted that the second quarter is expected to be down mid-single-digits, with full-year guidance at low to mid-single-digits. They anticipate stronger performance during peak periods like back-to-school and holiday seasons. Q: Can you discuss the increase in gross margin guidance for the year and provide an updated outlook by operating group? A: Daniel Karpel, CFO, stated that the gross margin expansion is largely driven by the brand portfolio, with favorable brand and channel mix, tariff mitigation strategies, and improved inventory management. Famous Footwear is expected to remain flat to slightly down, with the brand portfolio contributing most of the margin improvement. Q: How did the overall footwear market perform this quarter, and what trends are you seeing in fashion versus sneakers? A: Jay Schmidt, President and CEO, observed strong growth in fashion categories, with a return to dress and casual styles. The sneaker business was down mid-singles, reflecting a shift in consumer preferences. The brand portfolio gained market share, particularly in premium segments. Q: How are rising energy prices impacting freight costs and planning? A: Jay Schmidt, President and CEO, acknowledged the impact of energy prices on freight and product costs. The company is working to offset these effects and has factored them into their guidance, maintaining confidence in their projections. For the complete transcript of the earnings call, please refer to the full earnings call transcript.