Skechers: Can It Leverage Up?

  • Skechers produced another solid quarter with very strong sales growth and stellar same store sales increases.
  • The shares are consolidating, which is to be expected after the strong rally.
  • We think this offers a nice opportunity for those that missed the initial rally.
  • As we think there is room for margin expansion, increased cash flow and some multiple expansion.
  • Sales will almost certainly keep growing with big opportunities in large markets like China and India.

Source: Skechers: Can It Leverage Up? – Skechers USA Inc. (NYSE:SKX) | Seeking Alpha