Steven Madden (SHOO) Stock Forecast & Price Target

Steven Madden Ltd is projected to experience solid growth in revenue, with an expected increase of 8.5% in 2025, driven largely by the benefits from the Kurt Geiger acquisition despite challenges in the wholesale business. The company's management anticipates operating margins to expand significantly, potentially resulting in an overall operating margin reaching mid-teens, thus enhancing profitability. Additionally, with the potential to generate over $0.40 in earnings per share as revenue growth accelerates to approximately 12% in 2026, Steven Madden is well-positioned for long-term sustainable earnings power.

The analysis of Steven Madden Ltd's financial outlook reveals significant challenges contributing to a negative sentiment surrounding the stock. The company has experienced an 11% decline in sales in Q2 2025, driven primarily by order cancellations from off-price and mass retailers, which continue to pose a headwind into the latter half of the year. Furthermore, the anticipated decline in gross margins due to escalating tariff pressures, coupled with decreasing operating margins within the competitive landscape of the footwear sector, underscores the struggles faced by the company, suggesting a sustained period of financial difficulty ahead.