SKECHERS USA, Inc. (NYSE:SKX)
The Company designs and markets Skechers-branded contemporary footwear for men, women and children under several unique lines.
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SKX is a stock that has moved past its 50 day moving average. The shorts are piling up and they have this one wrong. SKX has a new line of shoes to give Crocs a run for thier money. Look for Skechers to make a statement this summer. The lines are long at the stores so far this spring and many customers have Skechers in hand. This stock is set for a second run. Look for SKX to go to $36.30. Hold on for the long haul, I see SKX yielding well above S&P returns over the next 2-4 yrs.
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They make good shoes which are popular with teenagers.
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Good marketting.
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Sketch your investments with Skechers USA!
The company is engaged in the designing and marketing of footwear for men, women and children offering 7 Skecher-branded lines. Besides, the company also markets fashion and street-focused footwear lines thus catering to varied customers. Currently Skechers USA has 136 domestic retail stores and 13 international retail stores with core customers between the ages of 12 and 24.
Footwear market is growing and interestingly even athletic footwear is becoming more fashion-oriented. The highly competitive fashion footwear market demands rapid flexibility with multiple product lines to match the changing consumer tastes and preferences. Taking the cue of the scenario, Skechers USA has a rich portfolio of brands like Sketchers Sport, Rhino Red, 310 Motoring, to name a few. Also, the target population of the company is expected to outpace the general population in the ratio of 2:1.
Company has maintained its growth momentum with over 21% revenue surge in the third quarter. Robust sales performance across all the categories coupled with rise in selling prices led to a strong overall performance. Also, distribution partners of the company are opening Sketcher retail stores, which would drive sales further. Recently, company has teamed up with Zoo York Footwear to gain from the rising popularity of skateboarding. The brand will be launched in Europe in spring 2007 which could positively impact company’s revenues.
Retail sales of the company have been outstanding, both, domestically and internationally. To augment its growth, company plans to open 20 to 25 more store in fiscal 2007. Encouraged by the performance, management expects over 39% full year earnings growth. In the light of these positive factors, the scrip should stimulate bullish sentiments among the investors.
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Casual is in, athletics like Nike and Reebok are on the decline. Just look at the styles you see on people's feet and you know what Sketchers will do if they keep their eye on styling cues...... UP, UP, UP!! Their styles, with a focus on fun will keep them ahead of the market for the next few years. Oh yeah, they're also a defensive play for an uncertain market.
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Dependable performance.
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consistently updated product range, which has wide appeal. Has consumers in higher and lower end markets. beggining partnership with AVIREX (an already properly established brand) soon.
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It makes money.
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I'm not much of a "shoe" man, but this company has sound numbers and strong insider ownership.
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