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Wolverine World Wide, Inc. (NYSE:WWW) designs, manufactures, sources, markets, licenses, and distributes branded footwear, apparel, and accessories. It offers industrial work shoes, boots, uniform shoes, outdoor sports footwear, rugged casual footwear, lifestyle footwear, sandals, and closed-toe products.

It is scheduled to report its Q2 2012 results on July 10, 2012, before the market opens.

Technical Overview


The stock has a market capitalization of $1.89B and is currently trading at $38.78 with a 52 week range of $30.77 - $44.13. The stock performance year to date: 9.49%. It is currently trading above 200 SMA, but below 20and 50SMA.

Key Metrics

  • Trailing P/E: 16.19
  • Forward P/E: 13.01
  • Price/Sales: 1.35
  • Price/Book: 3.11
  • PEG Ratio: 1.42
  • Total Debt: 70.00M
  • Annual dividend yield: 1.20%
  • Return on Equity: 19.89%
  • Return on Assets: 11.36%

Recent EPS Actuals vs. Estimates

The company has met or beaten analysts' estimates in the last four quarters. In the last quarter it reported $0.64 EPS, beating analyst estimates of $0.55.

The consensus EPS is $0.45 based on 12 analysts' estimates, down from $0.48 a year ago. Revenue estimates are $314.58M, up from $310.14M a year ago. The median target price by analysts for the stock is $45.50.

Average recommendation: Overweight

Source: Marketwatch

Analyst Upgrades and Downgrades

  • On March 26, 2012, DA Davidson initiated Neutral rating for the company.
  • On January 19, 2012, Northland Securities initiated Market Perform rating for the company.
  • On January 3, 2012, the company was downgraded from Outperform to Neutral at Robert W. Baird.

Latest Developments

  • On May 1, 2012, Collective Brands, Inc. and a consortium comprised of Wolverine Worldwide, Blum Capital Partners and Golden Gate Capital announced that they have entered into a definitive agreement under which Collective Brands will be acquired for $21.75 per share in cash, or a total of approximately $2.0 billion, including the assumption of debt.
  • On April 23, 2012, Wolverine World Wide, Inc. announced the formation of a joint venture with Tata International to market footwear and apparel in India. The new joint venture will initially be responsible for the wholesale distribution of Wolverine Worldwide's Merrell and Caterpillar Footwear brands.
  • On April 23, 2012, Wolverine World Wide, Inc. announced that it is raising its fiscal 2012 earnings per share (NYSEARCA:EPS) guidance to a range of $2.70 to $2.80 and revising its fiscal 2012 revenue guidance to a range of $1.46 billion to $1.50 billion.
  • On April 20, 2012, Forus SA announced that it has reached the agreement with Wolverine World Wide, Inc. to cooperate under the RKF (Rockford), Hush Puppies, Cushe, Merrell and CAT brands, through the subsidiaries Forus Colombia SA and Lifestyle Brands of Colombia SAS.
  • On January 30, 2012, Wolverine World Wide, Inc. announced that for fiscal 2012, it expects to report revenue in the range of $1.485-$1.525 billion and fully diluted earnings per share in the range of $2.60-$2.70.

Competitors

Wolverine World Wide Inc. operates in Textile - Apparel Footwear & Accessories industry. The company could be compared to Crocs, Inc. (NASDAQ:CROX), Deckers Outdoor Corp. (NYSE:DECK), Steven Madden, Ltd. (NASDAQ:SHOO), and Weyco Group Inc. (NASDAQ:WEYS). Below is the table comparison of the most important ratios between these companies and the industry.

Below is the chart comparison with the stock price changes as a percentage for the selected companies and S&P 500 index for the last one year period.

(click to enlarge)WWW Chart

WWW data by YCharts

Competitors' Latest Development

  • On June 13, 2012, Faruqi & Faruqi, LLP, a national securities law firm, announced that it is investigating potential securities fraud at Deckers Outdoor Corporation. The investigation focuses on whether the Company and its executives violated federal securities laws by failing to disclose that: (1) the Company was unable to mitigate the effects of dramatically increasing prices for sheepskin; (2) the Company was experiencing a substantial reduction in demand due to the unusually warm weather; (3) Deckers' aggressive expansion resulted in the over-supply of the Company's UGG brand; (4) the Company's inventory levels for its UGG brand were increasing rapidly, causing increased mark-downs and close-outs, adversely affecting revenues; and (5) as a result of the foregoing, the Company's gross margin was negatively impacted.
  • On June 8, 2012, Ryan & Maniskas, LLP announced that a class action lawsuit has been filed in the United States District Court for the Central District of California on behalf of purchasers of the common stock of Deckers Outdoor Corporation between October 27, 2011 and April 26, 2012, inclusive (the Class Period).
  • On June 6, 2012, Former United States Securities and Exchange Commission attorney Willie Briscoe, founder of The Briscoe Law Firm, PLLC, and the securities litigation firm of Powers Taylor, LLP announced that the firms are investigating legal claims against the officers and Board of Deckers Outdoor Corporation (Company) related to potential securities violations by the Company between October 27, 2011 and April 26, 2012 (the Class Period).
  • On June 5, 2012, The law firm of Izard Nobel LLP, which has experience representing investors in prosecuting claims of securities fraud, announced that a lawsuit seeking class action status has been filed in the United States District Court for the Central District of California on behalf of purchasers of the common stock of Deckers Outdoor Corporation (Deckers or the Company).
  • On June 4, 2012, Robbins Umeda LLP announced that it is investigating whether officers and directors of Deckers Outdoor Corporation breached their fiduciary duties to shareholders by causing the Company to issue improper statements concerning its financial guidance for 2012, inventories, gross margins, and demand for the Company's products.
  • On June 4, 2012, Rigrodsky & Long, P.A. announced that a complaint has been filed in the United States District Court for the Central District of California on behalf of all persons or entities that purchased the securities of Deckers Outdoor Corporation between October 27, 2011 and April 26, 2012, inclusive alleging violations of the Securities Exchange Act of 1934 against the Company and certain of its officers and directors.
  • On June 4, 2012, Law Firm of Levi & Korsinsky announced that a class action lawsuit has been commenced in the United States District Court for the Central District of California on behalf of investors who purchased Deckers Outdoor Corporation stock between October 27, 2011 and April 26, 2012.
  • On June 2, 2012, Robbins Geller Rudman & Dowd LLP announced that a class action has been commenced in the United States District Court for the Central District of California on behalf of purchasers of Deckers Outdoor Corporation common stock during the period between October 27, 2011 and April 26, 2012.
  • On May 3, 2012, Steven Madden Ltd. announced that fiscal 2012, it expects net sales to increase 24%-26% from fiscal 2011, compared to previous guidance of a 21%-23% increase and diluted EPS is now expected to be in the range of $2.62-$2.72, compared to previous guidance of $2.60-$2.70.
  • On April 26, 2012, Deckers Outdoor Corporation announced that for second quarter of 2012, it expects revenue to increase approximately 8% over fiscal 2011. The Company expects second quarter 2012 diluted loss per share of approximately $(0.60) compared to the diluted loss per share of $(0.19) reported in the second quarter of 2011.
  • On April 25, 2012, Crocs, Inc. announced that for the second quarter of 2012, it expects revenue to be in the range of $335 to $340 million and diluted earnings per share to be between $0.61 and $0.63.
  • On February 23, 2012, Crocs, Inc. announced that for the first quarter of 2012, it expects revenue to be in the range of $263 to $268 million and diluted earnings per share to be between $0.24 and $0.26.
  • On February 21, 2012, Steven Madden Ltd. announced that for fiscal 2012, it expects net sales to increase 21%-23% compared to fiscal 2011 and diluted EPS to be in the range of $2.60-$2.70.
  • On January 10, 2012, Crocs, Inc. announced that for fiscal 2011, it expects annual revenue to surpass $1 billion for the first time when the Company reports results for the year ended December 31, 2011.

Sources: Yahoo Finance, Google Finance, Marketwatch, Finviz, Reuters.

Source: Earnings Preview: Wolverine World Wide