Zacks Investment Research upgraded shares of Genesco (NYSE:GCO) from a hold rating to a buy rating in a research report report published on Wednesday morning. The firm currently has $52.00 price objective on the stock.
According to Zacks, “Genesco Inc., a Nashville-based specialty retailer, sells footwear, headwear and accessories in retail stores in the United States and Canada. The Company sells its products principally under the names Journeys, Journeys Kidz, Shi by Journeys, Johnston & Murphy, Underground Station, Hatworld, Lids, Hat Shack, Hat Zone, Head Quarters and Cap Connection, and on internet websites. The Company also sells footwear at wholesale under its Johnston & Murphy brand and under the licensed Dockers brand. “
Several other brokerages have also commented on GCO. Pivotal Research lowered Genesco from a buy rating to a hold rating and set a $52.00 price objective on the stock. in a research report on Wednesday, January 9th. They noted that the move was a valuation call. Piper Jaffray Companies set a $41.00 price objective on Genesco and gave the company a hold rating in a research report on Friday, November 30th. TheStreet upgraded Genesco from a c+ rating to a b rating in a research report on Tuesday, January 8th. Finally, ValuEngine upgraded Genesco from a hold rating to a buy rating in a research report on Tuesday, November 27th. Seven research analysts have rated the stock with a hold rating and three have given a buy rating to the company. The stock currently has a consensus rating of Hold and a consensus target price of $43.00.
Shares of NYSE GCO opened at $46.88 on Wednesday. The stock has a market capitalization of $938.15 million, a price-to-earnings ratio of 15.08, a price-to-earnings-growth ratio of 2.57 and a beta of 0.72. The company has a debt-to-equity ratio of 0.09, a quick ratio of 0.48 and a current ratio of 2.26. Genesco has a twelve month low of $36.60 and a twelve month high of $51.85.
Genesco (NYSE:GCO) last announced its earnings results on Thursday, December 6th. The company reported $0.95 earnings per share for the quarter, topping analysts’ consensus estimates of $0.86 by $0.09. The business had revenue of $713.10 million for the quarter, compared to analyst estimates of $712.06 million. Genesco had a return on equity of 7.21% and a net margin of 2.31%. The company’s quarterly revenue was down .5% compared to the same quarter last year. During the same period in the prior year, the company earned $1.02 EPS. Research analysts forecast that Genesco will post 3.27 EPS for the current fiscal year.
Genesco announced that its Board of Directors has authorized a stock repurchase plan on Friday, December 14th that authorizes the company to buyback $125.00 million in shares. This buyback authorization authorizes the company to purchase up to 14.7% of its stock through open market purchases. Stock buyback plans are often a sign that the company’s board of directors believes its stock is undervalued.
In related news, Director Marty G. Dickens sold 5,000 shares of the stock in a transaction dated Tuesday, January 29th. The stock was sold at an average price of $49.50, for a total transaction of $247,500.00. Following the completion of the sale, the director now directly owns 18,578 shares in the company, valued at approximately $919,611. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Also, CEO Robert J. Dennis sold 11,380 shares of the stock in a transaction that occurred on Wednesday, January 23rd. The stock was sold at an average price of $47.14, for a total value of $536,453.20. Following the completion of the sale, the chief executive officer now owns 261,361 shares of the company’s stock, valued at approximately $12,320,557.54. The disclosure for this sale can be found here. Insiders have sold a total of 16,880 shares of company stock valued at $807,953 over the last 90 days. 4.30% of the stock is currently owned by company insiders.
A number of hedge funds and other institutional investors have recently added to or reduced their stakes in GCO. Canada Pension Plan Investment Board lifted its holdings in Genesco by 99.7% in the 4th quarter. Canada Pension Plan Investment Board now owns 595,200 shares of the company’s stock worth $26,365,000 after buying an additional 297,144 shares during the period. WINTON GROUP Ltd purchased a new stake in Genesco in the 4th quarter worth approximately $11,625,000. Morgan Stanley lifted its holdings in Genesco by 128.6% in the 3rd quarter. Morgan Stanley now owns 314,676 shares of the company’s stock worth $14,821,000 after buying an additional 177,047 shares during the period. Prudential Financial Inc. lifted its holdings in Genesco by 40.1% in the 4th quarter. Prudential Financial Inc. now owns 553,889 shares of the company’s stock worth $24,537,000 after buying an additional 158,448 shares during the period. Finally, MERIAN GLOBAL INVESTORS UK Ltd lifted its holdings in Genesco by 165.5% in the 4th quarter. MERIAN GLOBAL INVESTORS UK Ltd now owns 194,997 shares of the company’s stock worth $8,638,000 after buying an additional 121,546 shares during the period.
Genesco Company Profile
Genesco Inc retails and wholesales footwear, apparel, and accessories. The company operates in five segments: Journeys Group, Schuh Group, Lids Sports Group, Johnston & Murphy Group, and Licensed Brands. The Journeys Group segment offers footwear and accessories through the Journeys, Journeys Kidz, Shi by Journeys, and Little Burgundy retail chains, as well as through e-commerce and catalogs for young men, women, and children.
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