Wolverine World Wide (NYSE:WWW) Sets New 1-Year High on Strong Earnings

Key Points

• Wolverine World Wide shares reached a new 52-week high at $26.90, marking a significant jump from its previous close of $23.50, with a trading volume of 741,401 shares.
• Analysts have mixed outlooks on the stock, with UBS increasing its price target to $30 while Stifel Nicolaus lowered it to $19, resulting in an overall consensus rating of "Moderate Buy."
• The company announced a quarterly dividend of $0.10, set to be paid on November 3rd, which reflects a 1.5% dividend yield based on an annualized dividend of $0.40.

Wolverine World Wide, Inc. (NYSE:WWW - Get Free Report) shares reached a new 52-week high during trading on Wednesday after the company announced better than expected quarterly earnings. The company traded as high as $26.90 and last traded at $25.99, with a volume of 741401 shares. The stock had previously closed at $23.50.

The textile maker reported $0.35 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.23 by $0.12. The company had revenue of $474.20 million for the quarter, compared to analyst estimates of $447.82 million. Wolverine World Wide had a net margin of 4.73% and a return on equity of 31.99%. The business's quarterly revenue was up 11.5% on a year-over-year basis. During the same quarter last year, the firm posted $0.15 earnings per share.

Wolverine World Wide Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Monday, November 3rd. Stockholders of record on Wednesday, October 1st will be given a dividend of $0.10 per share. This represents a $0.40 dividend on an annualized basis and a dividend yield of 1.5%. The ex-dividend date of this dividend is Wednesday, October 1st. Wolverine World Wide's payout ratio is presently 39.22%.

Analyst Ratings Changes

A number of research analysts recently commented on WWW shares. KeyCorp reissued an "overweight" rating and issued a $32.00 price target (up previously from $25.00) on shares of Wolverine World Wide in a report on Thursday. UBS Group increased their target price on Wolverine World Wide from $30.00 to $36.00 and gave the company a "buy" rating in a research note on Thursday. Wall Street Zen upgraded Wolverine World Wide from a "hold" rating to a "buy" rating in a research note on Saturday. Telsey Advisory Group reiterated a "market perform" rating and set a $29.00 target price (up from $17.00) on shares of Wolverine World Wide in a research note on Wednesday. Finally, Piper Sandler reiterated an "overweight" rating and set a $25.00 target price (up from $20.00) on shares of Wolverine World Wide in a research note on Tuesday, August 5th. One analyst has rated the stock with a hold rating, eight have given a buy rating and one has issued a strong buy rating to the company's stock. Based on data from MarketBeat.com, the stock presently has an average rating of "Buy" and an average target price of $25.38.

Institutional Investors Weigh In On Wolverine World Wide

Institutional investors have recently made changes to their positions in the company. Natixis bought a new position in Wolverine World Wide during the 4th quarter worth $41,000. Point72 Asia Singapore Pte. Ltd. bought a new position in Wolverine World Wide during the 4th quarter worth $64,000. Hilltop National Bank bought a new position in Wolverine World Wide during the 2nd quarter worth $85,000. GAMMA Investing LLC grew its stake in Wolverine World Wide by 48.7% during the 2nd quarter. GAMMA Investing LLC now owns 8,000 shares of the textile maker's stock worth $145,000 after buying an additional 2,619 shares during the last quarter. Finally, Summit Investment Advisors Inc. grew its stake in Wolverine World Wide by 7.5% during the 4th quarter. Summit Investment Advisors Inc. now owns 8,305 shares of the textile maker's stock worth $184,000 after buying an additional 581 shares during the last quarter. 90.25% of the stock is currently owned by institutional investors.

Wolverine World Wide Stock Performance

The stock has a market capitalization of $2.23 billion, a P/E ratio of 26.94 and a beta of 1.74. The stock has a 50 day moving average of $20.05 and a 200 day moving average of $17.05. The company has a debt-to-equity ratio of 1.58, a quick ratio of 0.75 and a current ratio of 1.24.

Wolverine World Wide Company Profile

Wolverine World Wide, Inc designs, manufactures, sources, markets, licenses, and distributes footwear, apparel, and accessories in the United States, Europe, the Middle East, Africa, the Asia Pacific, Canada and Latin America. It operates through Active Group and Work Group segments. The company offers casual footwear and apparel; performance outdoor and athletic footwear and apparel; kids' footwear; industrial work boots and apparel; and uniform shoes and boots.