Genesco Stock Discussion

Concerns arise from the company's growth without profitability and continuous share price decline. Insiders buying shares may be positive, but checking earnings and revenue growth trends is advised for a better business understanding.

Genesco's Q4 results were mixed despite beating revenue estimates due to a miss on EPS and a decline in same-store sales. The company's 2024 guidance, predicting a decrease in revenue and a miss on EPS, could negatively impact the stock.

Footwear retailer stocks, including Genesco, Boot Barn, Designer Brands, and Shoe Carnival, underperformed in Q3, missing analyst expectations. Ongoing inflation and investor focus on near-term cash flows have negatively impacted share prices.

The CEO cites uneven shopping patterns and waning interest in boots impacting store sales. Moving into fiscal 2025, the company plans better inventory management and merchandise to meet consumer preferences.

Genesco's stock trading at current P/S ratio is surprising considering subdued revenue growth projections compared to industry. Current shareholders might face disappointment if P/S ratio falls in line with growth outlook.

Caution suggested due to Genesco's downward trending returns. Such trends can signal maturing businesses facing competition and may diminish investment attractiveness.