We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Steven Madden's Digital & Full-Price Strength Boosts DTC Performance
Read MoreHide Full Article
Key Takeaways
SHOO's Q4 DTC revenues surged 79.9% y/y to $316.6 million, led by owned-channel consumer demand.
E-commerce outpaced stores, with online brand searches up 10% y/y among younger shoppers.
DTC revenues for 2026 are projected to grow 7.5%, excluding Kurt Geiger, backed by digital momentum.
Steven Madden, Ltd.’s (SHOO - Free Report) strong digital momentum and improving full-price channel performance significantly boosted its direct-to-consumer (DTC) business, reinforcing the brand’s ability to drive profitable growth through owned channels. In fourth-quarter 2025, DTC revenues surged 79.9% year over year to $316.6 million. Even after excluding the contribution from the Kurt Geiger acquisition, DTC sales still increased 1.6%, reflecting steady organic momentum.
A key highlight was the return of comps growth in Steve Madden’s U.S. DTC business during the fourth quarter. Management noted that strong performance in full-price channels more than offset continued softness in outlet stores. This signals improving brand desirability and healthier consumer demand, especially in premium and full-price assortments.
The digital channel was particularly strong, with management emphasizing that e-commerce growth outpaced physical stores in the fourth quarter. Online brand searches for Steve Madden increased 10% year over year, showing rising brand heat among Gen Z and millennial consumers. The company’s investments in richer product storytelling and always-on marketing campaigns appear to be translating into stronger online traffic and conversion.
Store productivity also showed encouraging trends. While outlets remained weak, full-price stores posted a solid increase, and performance improved further heading into the first quarter of 2026. The company ended 2025 with 399 company-operated stores, alongside seven e-commerce websites and 133 international concessions, underscoring the scale of its DTC platform.
Looking ahead, management remains optimistic about continued DTC momentum. For 2026, excluding Kurt Geiger, DTC revenues are expected to grow 7.5% at the mid-point. This strength, supported by digital traction, better full-price sell-through and sustained marketing investment, positions DTC as a critical long-term growth engine for Steven Madden’s brand portfolio. We foresee DTC revenues to increase 21.3% year over year in 2026.
SHOO’s Price Performance, Valuation & Estimates
Shares of the company have surged 80.2% in the past year against the industry’s 17.6% decline.
Image Source: Zacks Investment Research
From a valuation standpoint, Steven Madden is trading at a forward 12-month price-to-sales ratio of 0.95X, down from the industry average of 1.26X. It has a Value Score of B.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for Steven Madden’s 2026 earnings implies a year-over-year growth of 22.9%, whereas the same for 2027 indicates an uptick of 16.8%. Estimates for 2026 and 2027 have been revised upward by 5 cents and 7 cents, respectively, in the past 30 days.
Image Source: Zacks Investment Research
SHOO’s Zacks Rank & Key Picks
Steven Madden currently has a Zacks Rank #3 (Hold).
FIGS is a direct-to-consumer healthcare apparel and lifestyle brand, and it currently sports a Zacks Rank of 1 (Strong Buy). The company delivered a trailing four-quarter earnings surprise of 187.5%, on average. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for FIGS’ current financial-year sales and earnings indicates growth of 11.7% and 15.8%, respectively, from the year-ago reported numbers.
Tapestry, which was formerly known as Coach, Inc., is the designer and marketer of fine accessories and gifts for women and men in the United States and internationally. It presently carries a Zacks Rank #2 (Buy).
The Zacks Consensus Estimate for Tapestry’s current fiscal-year earnings and sales implies growth of 26.5% and 11.2%, respectively, from the year-ago actuals. TPR delivered a trailing four-quarter average earnings surprise of 12.8%.
Abercrombie & Fitch operates as a specialty retailer of premium, high-quality casual apparel for men, women and kids. It currently has a Zacks Rank of 2.
The Zacks Consensus Estimate for Abercrombie & Fitch’s current fiscal year earnings and sales implies growth of 8.6% and 4.3%, respectively, from the year-ago actuals. ANF delivered a trailing four-quarter average earnings surprise of 8.4%.
Zacks' 7 Best Strong Buy Stocks (New Research Report)
Valued at $99, click below to receive our just-released report
predicting the 7 stocks that will soar highest in the coming month.
View the Zacks #1 Rank List
Image: Bigstock
Steven Madden's Digital & Full-Price Strength Boosts DTC Performance
Key Takeaways
Steven Madden, Ltd.’s (SHOO - Free Report) strong digital momentum and improving full-price channel performance significantly boosted its direct-to-consumer (DTC) business, reinforcing the brand’s ability to drive profitable growth through owned channels. In fourth-quarter 2025, DTC revenues surged 79.9% year over year to $316.6 million. Even after excluding the contribution from the Kurt Geiger acquisition, DTC sales still increased 1.6%, reflecting steady organic momentum.
A key highlight was the return of comps growth in Steve Madden’s U.S. DTC business during the fourth quarter. Management noted that strong performance in full-price channels more than offset continued softness in outlet stores. This signals improving brand desirability and healthier consumer demand, especially in premium and full-price assortments.
The digital channel was particularly strong, with management emphasizing that e-commerce growth outpaced physical stores in the fourth quarter. Online brand searches for Steve Madden increased 10% year over year, showing rising brand heat among Gen Z and millennial consumers. The company’s investments in richer product storytelling and always-on marketing campaigns appear to be translating into stronger online traffic and conversion.
Store productivity also showed encouraging trends. While outlets remained weak, full-price stores posted a solid increase, and performance improved further heading into the first quarter of 2026. The company ended 2025 with 399 company-operated stores, alongside seven e-commerce websites and 133 international concessions, underscoring the scale of its DTC platform.
Looking ahead, management remains optimistic about continued DTC momentum. For 2026, excluding Kurt Geiger, DTC revenues are expected to grow 7.5% at the mid-point. This strength, supported by digital traction, better full-price sell-through and sustained marketing investment, positions DTC as a critical long-term growth engine for Steven Madden’s brand portfolio. We foresee DTC revenues to increase 21.3% year over year in 2026.
SHOO’s Price Performance, Valuation & Estimates
Shares of the company have surged 80.2% in the past year against the industry’s 17.6% decline.
Image Source: Zacks Investment Research
From a valuation standpoint, Steven Madden is trading at a forward 12-month price-to-sales ratio of 0.95X, down from the industry average of 1.26X. It has a Value Score of B.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for Steven Madden’s 2026 earnings implies a year-over-year growth of 22.9%, whereas the same for 2027 indicates an uptick of 16.8%. Estimates for 2026 and 2027 have been revised upward by 5 cents and 7 cents, respectively, in the past 30 days.
Image Source: Zacks Investment Research
SHOO’s Zacks Rank & Key Picks
Steven Madden currently has a Zacks Rank #3 (Hold).
Some better-ranked stocks are FIGS Inc. (FIGS - Free Report) , Tapestry, Inc. (TPR - Free Report) and Abercrombie & Fitch Co. (ANF - Free Report) .
FIGS is a direct-to-consumer healthcare apparel and lifestyle brand, and it currently sports a Zacks Rank of 1 (Strong Buy). The company delivered a trailing four-quarter earnings surprise of 187.5%, on average. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for FIGS’ current financial-year sales and earnings indicates growth of 11.7% and 15.8%, respectively, from the year-ago reported numbers.
Tapestry, which was formerly known as Coach, Inc., is the designer and marketer of fine accessories and gifts for women and men in the United States and internationally. It presently carries a Zacks Rank #2 (Buy).
The Zacks Consensus Estimate for Tapestry’s current fiscal-year earnings and sales implies growth of 26.5% and 11.2%, respectively, from the year-ago actuals. TPR delivered a trailing four-quarter average earnings surprise of 12.8%.
Abercrombie & Fitch operates as a specialty retailer of premium, high-quality casual apparel for men, women and kids. It currently has a Zacks Rank of 2.
The Zacks Consensus Estimate for Abercrombie & Fitch’s current fiscal year earnings and sales implies growth of 8.6% and 4.3%, respectively, from the year-ago actuals. ANF delivered a trailing four-quarter average earnings surprise of 8.4%.