Shoe Carnival (NASDAQ:SCVL) Posts Quarterly Earnings Results, Hits Expectations

Shoe Carnival (NASDAQ:SCVL) announced its quarterly earnings data on Thursday. The company reported $0.33 earnings per share (EPS) for the quarter, meeting analysts’ consensus estimates of $0.33, FiscalAI reports. Shoe Carnival had a net margin of 5.06% and a return on equity of 8.75%. The company had revenue of $254.07 million during the quarter, compared to analysts’ expectations of $256.74 million. During the same quarter in the prior year, the company posted $0.54 EPS. The business’s revenue was down 3.3% on a year-over-year basis.

Here are the key takeaways from Shoe Carnival’s conference call:

• The board appointed Cliff Sifford as Interim President & CEO after Mark Worden’s departure, a permanent search is underway, and CEO transition costs will be reported separately and are excluded from the fiscal 2026 guidance.
• Fiscal 2026 guidance calls for EPS of $1.40–$1.60 (vs. $1.90 in FY2025) and ~260 bps gross margin compression to ~34%, driven mainly by the timing of tariff-related cost increases and near-term promotional activity.
• The large-scale rebanner rollout is being slowed after variability in converted store performance — 101 rebanners completed in FY25, with ~21 targeted conversions planned before back-to-school 2026 and reduced rebanner P&L spend of $10M–$15M and capex of $5M–$7M for FY26.
• Inventory was elevated to $439.6M (+14%) from opportunistic pre-tariff buys and management plans to reduce inventory by $50M–$65M in FY26 via targeted promotions, which will pressure margins early in the year but is expected to improve cash flow and margin trends in H2 and FY27.
• The company remains financially strong — debt-free for 21 years with $130.7M in cash & securities, a raised quarterly dividend to $0.17, $100M revolver availability, and $50M remaining on the share repurchase authorization.

Shoe Carnival Price Performance

SCVL traded down $1.09 on Thursday, hitting $16.78. 224,804 shares of the stock were exchanged, compared to its average volume of 370,310. The business has a 50-day moving average of $19.35 and a two-hundred day moving average of $19.21. The firm has a market capitalization of $459.55 million, a price-to-earnings ratio of 7.97 and a beta of 1.34. Shoe Carnival has a 12 month low of $15.21 and a 12 month high of $26.57.

Shoe Carnival Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Monday, April 20th. Investors of record on Monday, April 6th will be paid a $0.17 dividend. This is a boost from Shoe Carnival’s previous quarterly dividend of $0.15. The ex-dividend date is Monday, April 6th. This represents a $0.68 annualized dividend and a yield of 4.1%. Shoe Carnival’s dividend payout ratio is presently 28.57%.

Wall Street Analysts Forecast Growth

A number of equities analysts have recently weighed in on the stock. Weiss Ratings reaffirmed a “hold (c-)” rating on shares of Shoe Carnival in a research report on Monday, December 29th. Williams Trading set a $22.00 target price on shares of Shoe Carnival in a report on Thursday, February 26th. One research analyst has rated the stock with a Strong Buy rating and two have issued a Hold rating to the company’s stock. According to data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average price target of $22.00.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of the stock. New South Capital Management Inc. increased its position in Shoe Carnival by 10.3% during the 4th quarter. New South Capital Management Inc. now owns 744,519 shares of the company’s stock valued at $12,567,000 after purchasing an additional 69,474 shares during the period. Geode Capital Management LLC boosted its stake in shares of Shoe Carnival by 1.1% in the 4th quarter. Geode Capital Management LLC now owns 448,424 shares of the company’s stock valued at $7,570,000 after purchasing an additional 4,859 shares during the last quarter. Charles Schwab Investment Management Inc. increased its position in shares of Shoe Carnival by 24.2% during the fourth quarter. Charles Schwab Investment Management Inc. now owns 441,679 shares of the company’s stock worth $7,456,000 after buying an additional 86,075 shares during the period. Wasatch Advisors LP raised its stake in Shoe Carnival by 8.5% during the third quarter. Wasatch Advisors LP now owns 397,677 shares of the company’s stock worth $8,268,000 after buying an additional 31,024 shares during the last quarter. Finally, Nokomis Capital L.L.C. lifted its holdings in Shoe Carnival by 13.0% in the third quarter. Nokomis Capital L.L.C. now owns 374,103 shares of the company’s stock valued at $7,778,000 after buying an additional 43,000 shares during the period. 66.05% of the stock is currently owned by institutional investors and hedge funds.

Shoe Carnival announced that its board has initiated a share buyback plan on Friday, December 12th that allows the company to repurchase $50.00 million in shares. This repurchase authorization allows the company to buy up to 9.9% of its shares through open market purchases. Shares repurchase plans are generally a sign that the company’s leadership believes its stock is undervalued.

About Shoe Carnival

Shoe Carnival, Inc (NASDAQ: SCVL) is a U.S.-based specialty retailer offering a broad assortment of footwear, apparel and accessories for the entire family. Through its network of brick-and-mortar stores and e-commerce platform, the company provides casual, athletic and dress shoes for men, women and children, as well as complementary apparel, handbags, socks and other accessories designed to deliver value and variety. Its distinctive in-store carnival host service model aims to create an engaging shopping experience and foster customer loyalty.

Founded in 1978 and headquartered in Evansville, Indiana, Shoe Carnival has expanded over four decades to operate more than 350 retail locations across over 30 states.