Genesco (NYSE:GCO) Announces Earnings Results

Genesco (NYSE:GCO) announced its earnings results on Friday. The company reported ($2.18) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($2.58) by $0.40, FiscalAI reports. Genesco had a net margin of 0.54% and a return on equity of 2.92%. The firm had revenue of $487.03 million for the quarter, compared to analyst estimates of $474.32 million. Genesco updated its FY 2027 guidance to 2.000-2.400 EPS.

Here are the key takeaways from Genesco’s conference call:

• Genesco beat expectations across the board in Q1, with total sales up 3% to $487 million, operating performance improving, and the company delivering its seventh consecutive quarter of positive comparable sales.
• Journeys remained the standout growth driver, posting a 5% comp gain on strong product trends, better conversion, higher transaction values, and continued market share gains; the new 4.0 stores are also performing well with sales lifts above 25%.
• Johnston & Murphy posted strong momentum with 7% comps, supported by refreshed product, increased brand awareness from marketing including the Peyton Manning campaign, and a consumer shift toward more refined, tailored dressing.
• Schuh is still the weak spot, with comps down 9% as the company intentionally reduced promotions and markdowns; management said the turnaround will take longer due to the tougher U.K. consumer backdrop and geopolitical pressure.
• Genesco raised full-year EPS guidance to $2.00-$2.40 and announced a new $40 million-$50 million cost program through fiscal 2029, while also expecting potential tariff refunds of about $23 million-$25 million that could provide additional upside if realized.

Genesco Trading Up 5.8%

GCO opened at $38.50 on Friday. The company has a market cap of $418.14 million, a P/E ratio of 34.07 and a beta of 1.82. The company has a current ratio of 1.64, a quick ratio of 0.49 and a debt-to-equity ratio of 0.01. The company’s 50 day moving average is $32.60 and its 200-day moving average is $30.09. Genesco has a 1-year low of $19.62 and a 1-year high of $38.95.

Analyst Ratings Changes

GCO has been the topic of a number of recent research reports. Truist Financial set a $40.00 price objective on Genesco in a research note on Friday. Seaport Research Partners lowered Genesco from a “buy” rating to a “neutral” rating in a report on Wednesday. Wall Street Zen upgraded Genesco from a “hold” rating to a “buy” rating in a research report on Saturday. Jefferies Financial Group reaffirmed a “hold” rating on shares of Genesco in a research note on Friday, March 6th. Finally, Weiss Ratings raised shares of Genesco from a “hold (c-)” rating to a “hold (c)” rating in a research report on Friday, May 15th. One research analyst has rated the stock with a Strong Buy rating and four have assigned a Hold rating to the company’s stock. Based on data from MarketBeat, the company has an average rating of “Hold” and an average target price of $36.67.

Hedge Funds Weigh In On Genesco

Several institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Corient Private Wealth LLC boosted its position in Genesco by 361.6% in the fourth quarter. Corient Private Wealth LLC now owns 46,570 shares of the company’s stock valued at $1,154,000 after buying an additional 36,481 shares in the last quarter. Mackenzie Financial Corp lifted its stake in shares of Genesco by 50.3% in the 4th quarter. Mackenzie Financial Corp now owns 76,133 shares of the company’s stock valued at $1,927,000 after acquiring an additional 25,494 shares during the last quarter. Empowered Funds LLC lifted its stake in shares of Genesco by 1.9% in the 4th quarter. Empowered Funds LLC now owns 79,016 shares of the company’s stock valued at $1,957,000 after acquiring an additional 1,449 shares during the last quarter. Tudor Investment Corp ET AL acquired a new stake in shares of Genesco during the 4th quarter valued at $671,000. Finally, Bridgeway Capital Management LLC boosted its holdings in shares of Genesco by 5.0% during the 4th quarter. Bridgeway Capital Management LLC now owns 149,416 shares of the company’s stock valued at $3,701,000 after acquiring an additional 7,049 shares in the last quarter. Institutional investors own 94.51% of the company’s stock.

About Genesco

Genesco Inc is a Nashville, Tennessee-based retailer, wholesaler and licensee specializing in branded footwear, headwear, apparel and accessories. Through its portfolio of retail chains, wholesale distribution channels and licensing agreements, Genesco brings a range of product offerings to consumers in North America and Europe.

The company’s retail segment includes specialty chains such as Journeys, which targets fashion-focused teens and young adults in the United States and Canada, and Schuh, a footwear retailer with locations in the United Kingdom and Ireland.