Back to top


Genesco, Inc. (GCO - Snapshot Report) continues to trade strong in the volatile market, recently hitting a new all-time high on another strong quarter. With estimates on the rise and a bullish growth projection, this Zacks #1 rank stock is a good pick for retail momentum.

Company Description

Genesco operates across the supply chain as both a wholesaler and retailer. The company owns over 1,100 stores under the name Journeys and also wholesales shoes to other distributors. The company was founded in 1924 and has a market cap of $2billion.

Genesco has been trading strong in spite of jitters about global growth projections. The company's share price just hit a new all-time high after reporting strong Q3 results that came in ahead of expectations.

Third-Quarter Results

Revenue was up 33% to $617 million. Earnings also came in strong at $1.21, 26% ahead of the Zacks Consensus Estimate, where the company has an average earnings surprise of 48% over the last four quarters.

The strong revenue growth was driven by the acquisition of Schuh Group, Inc., which Genesco bought in June for $113 million. Strong same-store sales also looked good, up 12% from last year.

Financial Profile

Genesco took on a little debt for its acquisition, jumping from 0 to $143 million. Cash and short-term investments is up 50% to $36 million.


We saw some pretty solid movement in estimates off the good quarter, with the current-year estimate adding 9% to $3.71. The next-year estimate tacked on 5%, climbing to $4.28, a solid 15% growth projection.


But in spite of the gains, the valuation picture still looks good, with a PEG ratio of 1 in line with the benchmark for value.

12-Month Chart

On the chart, shares recently hit a new all-time high after posting big gains over the last few months. Take a look below.

Michael Vodicka is the Momentum Stock Strategist for He is also the Editor in charge of the market-beating Zacks Whisper Trader Service.

Please login to or register to post a comment.

New to Zacks?

Start Here

Zacks Investment Research


Are you a new Zacks Member or a visitor to

Top Zacks Features

My Portfolio Tracker

Is it Time to Sell?

One of the most important steps you can take today is to set up your portfolio tracker on Once you do, you'll be notified of major events affecting your stocks and/or funds with daily email alerts.

More Zacks Resources

Zacks Rank Home - Evaluate your stocks and use the Zacks Rank to eliminate the losers and keep the winners.

Mutual Fund Rank Home - Evaluate your funds with the Mutual Fund Rank for both your personal and retirement funds.

Stock/Mutual Fund Screening - Find better stocks and mutual funds. The ones most likely to beat the market and provide a positive return.

My Portfolio - Track your Portfolio and find out where your stocks/mutual funds stack up with the Zacks Rank.

Zacks #1 Rank Top Movers for Zacks #1 Rank Top Movers

Company Symbol Price %Chg
BITAUTO HOL… BITA 81.45 +4.79%
PLANAR SYST… PLNR 4.38 +3.67%
CHINA BIOLO… CBPO 47.64 +2.71%
SPIRIT AIRL… SAVE 72.96 +2.62%
SOUTHWEST A… LUV 32.05 +2.59%