WWW Stock Forecast & Price Target

Wolverine World Wide Inc. is projected to experience significant financial growth, with expected revenues for FY25 ranging from $1.855 billion to $1.870 billion, representing an increase of approximately 6.0% to 6.8% year-over-year. The gross margin is anticipated to rise to around 46.3%, reflecting a 270 basis point improvement year-over-year, while the operating margin is expected to reach 10.5%, a 60 basis point increase from the previous year. The Active Group segment, driven by strong performance from brands like Merrell and Saucony, is forecasted to contribute substantially to this revenue growth, indicating favorable momentum in the company’s core market.

Wolverine World Wide's inventory levels have decreased by only 0.7% year-over-year, contrasting with a net sales growth of 6.9%, which indicates potential inefficiencies in inventory management amid rising tariff pressures expected to impact earnings significantly in FY25. The company's performance within its Work Group segment has not met expectations, with a projected high-single-digit decline in revenue year-over-year, coupled with a diluted earnings per share guidance that fell short of consensus estimates. Overall, a combination of gross margin expectations that are lower than prior projections, weakening direct-to-consumer revenue, and a challenging macroeconomic environment adds to the negative outlook for Wolverine World Wide's stock.