Wolverine World Wide (WWW) AI Stock Analysis

• Market Cap: $1.15B
• Dividend Yield: 2.7%
• Average Volume (3M): 1.60M
• Price to Earnings (P/E): 24.6
• Beta (1Y): 1.57
• Revenue Growth: -13.05%
• EPS Growth: N/A
• Country: US
• Employees: 3,100
• Sector: Consumer Cyclical
• Sector Strength: 58
• Industry: Apparel - Footwear & Accessories
• EPS (TTM): 0.20
• Shares Outstanding: 81,034,800
• 10 Day Avg. Volume: 1,479,657
• 30 Day Avg. Volume: 1,598,296
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• Price to Cash Flow (P/CF): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 2.14
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: 3.15
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $18.75
• Price Target Upside: 14.89% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 8

Wolverine World Wide shows signs of recovery with improved profitability, cash flow, and operational efficiency. Despite declining revenues, strong cost management and debt reduction efforts reflect financial stability. The technical analysis indicates upward momentum, though caution is warranted due to overbought conditions. Valuation remains a concern with a high P/E ratio, but the dividend yield offers some income appeal. Positive sentiment from the earnings call further supports a favorable outlook, although challenges remain in direct-to-consumer sales.

Positive Factors

Brand Momentum

Saucony's momentum is improving faster than previously expected, driving positive sentiment for the brand.

Earnings Potential

The potential for earnings growth is compelling as the company benefits from high margin revenue and reduced debt expenses.

Financial Health

The company has shown significant progress in reducing its debt and improving its net leverage ratio, which is a positive sign for financial health.

Negative Factors

Brand Strategy

Merrell's allocation and distribution strategy still leaves much to be desired, indicating potential challenges in brand strategy.

Market Conditions

Analysts remain measured with respect to modeling 2025 performance amid recent challenging U.S. footwear industry indicators and outdoor category headwinds.

Revenue Guidance

FY25 revenue guidance was disappointing; the high end of revenue guidance was 1.8% below consensus estimates.

Wolverine World Wide Business Overview & Revenue Model

Company Description

Wolverine World Wide, Inc. designs, manufactures, sources, markets, licenses, and distributes footwear, apparel, and accessories in the United States, Europe, the Middle East, Africa, the Asia Pacific, Canada and Latin America. The company operates through two segments, Wolverine Michigan Group and Wolverine Boston Group. It offers casual footwear and apparel; performance outdoor and athletic footwear and apparel; kids' footwear; industrial work boots and apparel; and uniform shoes and boots. The company sources, markets, and licenses a range of footwear styles, such as shoes, boots, and sandals under the Bates, Cat, Chaco, Harley-Davidson, Hush Puppies, Hytest, Keds, Merrell, Saucony, Sperry, Sweaty Betty, Wolverine, and Stride Rite brands. It also markets Merrell and Wolverine branded apparel and accessories, as well as licenses its brands for use on non-footwear products, including the Hush Puppies apparel, eyewear, watches, socks, handbags, and plush toys; Wolverine branded eyewear and gloves; and Keds, Saucony, and Sperry branded apparel. In addition, the company markets pigskin leather under the Wolverine Warrior Leather, Weather Tight, and All Season Weather Leathers trademarks for use in the footwear industry. Further, it operates brick and mortar retail stores, and eCommerce sites. The company sells its products to department stores, national chains, catalog and specialty retailers, independent retailers, uniform outlets, and mass merchant and government customers through retail stores, as well as through third-party licensees and distributors, and joint ventures. As of January 1, 2022, it operated 143 retail stores, as well as 65 consumer-direct eCommerce sites. Wolverine World Wide, Inc. was founded in 1883 and is based in Rockford, Michigan.

How the Company Makes Money

Wolverine World Wide generates revenue primarily through the sale of its branded footwear, apparel, and accessories. The company's revenue streams include wholesale distribution to retailers and distributors globally, direct-to-consumer sales through its branded retail stores and e-commerce websites, and licensing agreements for certain brands. Key partnerships with retailers and distributors worldwide help expand its market reach, while its diversified brand portfolio caters to a broad consumer base. Additionally, Wolverine World Wide benefits from strategic acquisitions and brand management, enhancing its ability to capture market share and drive growth in the competitive footwear and apparel industry.

Wolverine World Wide Financial Statement Overview

Summary

Wolverine World Wide shows signs of recovery with improved profitability and cash flow in 2024. Despite revenue decline, cost management and debt reduction efforts have bolstered financial stability. Challenges remain with high leverage, but operational efficiency and cash flow generation improvements provide a positive outlook.

Income Statement

Wolverine World Wide has shown a significant decline in its revenue over the recent years, from $2.68 billion in 2022 to $1.75 billion in 2024. The gross profit margin for 2024 stands healthy at 44.5%, reflecting good cost management despite declining revenues. However, the net profit margin of 2.7% indicates slim profitability. The company has managed to return to positive EBIT and EBITDA in 2024, indicating operational improvements.

Balance Sheet

The company's debt-to-equity ratio improved significantly from 3.91 in 2023 to 0.52 in 2024 due to debt reduction and increased equity. This indicates a better financial structure. However, the equity ratio remains low at 18.4%, suggesting high leverage. The return on equity (ROE) has improved to 15.6% in 2024, showing better returns for shareholders.

Cash Flow

Wolverine World Wide has shown strong cash flow management, with positive free cash flow growth from $107 million in 2023 to $159.9 million in 2024. The operating cash flow to net income ratio is robust at 3.76, indicating efficient cash generation relative to net income. Despite past negative trends, the recent year shows promising cash flow improvements.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Mar 2022	Mar 2021
Income Statement		Total Revenue
1.75B	2.24B	2.68B	2.41B	1.79B
	Gross Profit
781.50M	872.50M	1.07B	1.03B	735.60M
	EBIT
101.00M	-68.20M	133.10M	155.70M	87.20M
	EBITDA
130.50M	-46.20M	-137.30M	207.30M	-96.60M
	Net Income Common Stockholders
47.90M	-39.60M	-189.10M	68.60M	-138.60M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
152.10M	179.00M	131.50M	161.70M	347.40M
	Total Assets
1.67B	2.06B	2.49B	2.59B	2.14B
	Total Debt
159.70M	1.09B	1.35B	1.12B	886.80M
	Net Debt
7.60M	908.90M	1.22B	961.60M	539.40M
	Total Liabilities
1.35B	1.76B	2.15B	1.94B	1.56B
	Stockholders Equity
307.30M	278.60M	339.00M	644.40M	573.00M
Cash Flow		Free Cash Flow
159.90M	107.20M	-215.40M	69.20M	298.80M
	Operating Cash Flow
180.10M	121.80M	-178.90M	86.80M	309.10M
	Investing Cash Flow
86.80M	171.60M	54.60M	-437.30M	6.10M
	Financing Cash Flow
-299.20M	-246.30M	107.10M	169.30M	-154.00M

Wolverine World Wide Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 16.32
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For WWW, the sentiment is Positive. The current price of 16.32 is above the 20-day moving average (MA) of 12.65, above the 50-day MA of 13.16, and below the 200-day MA of 16.87, indicating a neutral trend. The MACD of 0.52 indicates Negative momentum. The RSI at 72.85 is Negative, neither overbought nor oversold. The STOCH value of 90.42 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for WWW.

Wolverine World Wide Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CROX	80 Outperform	$5.54B	6.18	57.76%	―	2.09%	26.18%
SHOO	73 Outperform	$1.46B	8.79	19.51%	3.59%	10.06%	-4.71%
WEYS	71 Outperform	$291.48M	9.72	11.76%	3.44%	-5.46%	-1.09%
CAL	71 Outperform	$490.93M	4.95	17.83%	1.88%	-3.36%	-35.98%
RCKY	70 Outperform	$140.34M	10.22	5.97%	3.22%	-2.01%	2.08%
WWW	63 Neutral	$1.15B	24.57	15.57%	2.70%	-13.05%	―
Sector *	61 Neutral	$6.59B	11.77	3.06%	3.98%	2.56%	-20.85%

Wolverine World Wide Corporate Events

Wolverine World Wide Shareholders Meeting Results Announced

On May 1, 2025, Wolverine World Wide held its Annual Meeting of Shareholders where four proposals were voted on. The shareholders elected two directors for terms expiring in 2028, approved executive compensation, ratified Ernst & Young LLP as the independent auditor for fiscal year 2025, and rejected a proposal on greenhouse gas emissions disclosures and targets.

Spark’s Take on WWW Stock

According to Spark, TipRanks’ AI Analyst, WWW is a Neutral.

Wolverine World Wide’s overall stock score reflects a balanced view of its performance. Financially, the company is recovering, with significant cost management and debt reduction efforts. The earnings call projects an optimistic outlook with expected growth and strategic investments. However, technical indicators suggest bearish momentum, and valuation appears moderate. The most significant factors are the financial recovery and positive future guidance, countered by technical challenges.

To see Spark’s full report on WWW stock, click here.