Raymond James has adjusted its price target for Skechers (SKX, Financial), bringing it down to $60 from the earlier figure of $75. Despite this revision, the firm maintains an Outperform rating on the stock. The change reflects growing concerns that tariffs could heavily influence upcoming earnings and market narratives.
The analyst from Raymond James highlights that while tariffs are expected to be a focal point during earnings calls, companies might not provide precise details on how these will financially impact them. This hesitation is attributed to the ever-evolving nature of government policies. Should the proposed tariffs on Liberation Day come into effect, the firm forecasts a notable adverse effect on both gross margins and earnings per share (EPS).
Additionally, the possibility of heightened inflation could lead to diminished consumer spending, further affecting demand. This scenario would likely cause collateral damage, impacting overall financial performance.
