Skechers U.S.A. (SKX)
Key Statistics
EV/EBIT = 13.3x
ROE = 15.1%
Debt/Equity = 48%
FCF Yield = 4.3%
Dividend Yield = 0%
Market Cap = $10.62 billion
The Company
Skechers (SKX) designs, manufactures, and sells a wide variety of shoes for men, women, and children, including casual footwear, athletic shoes, and boots.
The company generates revenue primarily through shoe sales, which are made available in their own stores, department stores, and online platforms, including their website and other retailers.
Additionally, Skechers enhances its brand appeal by partnering with famous athletes and celebrities to create special edition shoes, which boosts their popularity. The brand focuses on offering shoes that combine comfort and style, catering to different activities and personal tastes.
Skechers, founded in 1992 by Robert Greenberg, began during the grunge era, a time defined by rebellious fashion and alternative music. The company gained early success with the "Chrome Dome" boot, a rugged, utility-style shoe that became a signature of grunge culture and resonated with young, trend-conscious consumers. As the 1990s progressed, Skechers expanded its offerings beyond boots to include sneakers, sandals, and athletic shoes, appealing to a broader demographic by focusing on comfort, style, and affordability.
The 2000s marked a period of significant growth for Skechers, driven by innovations like Memory Foam technology, which provided superior cushioning and support. This focus on combining comfort with stylish designs boosted sales and established Skechers as a major player in the footwear industry. The brand further enhanced its reputation by partnering with celebrities and athletes, using endorsements to reach new audiences. At the same time, Skechers expanded globally, opening stores and distribution networks in countries around the world.