Can SHOO sustain its earnings momentum into 2025?

**Steven Madden's (SHOO) ability to sustain its earnings momentum into 2025 appears challenging**, based on several factors:

1. **Growth Drivers**: Steven Madden has seen growth in international markets and non-footwear categories, which have boosted results. The company's emphasis on expanding direct-to-consumer (DTC) segment, diversifying into accessories and apparel beyond footwear, and strengthening its international presence while maintaining a solid U.S. wholesale business is expected to have driven top-line growth. However, the impact of new tariffs on goods imported into the United States poses a shadow over its near-term prospects.
2. **Financial Performance**: The company's net income growth rate is at 2.15%, which is relatively low compared to the revenue growth rate of 12.05%. This suggests that while revenue has been growing, the profitability margin may not have kept up at the same pace.

|code|Ticker|Name|Date|Net Income YoY|Total Revenue YoY|Diluted EPS YoY|market_code|
|---|---|---|---|---|---|---|---|
|SHOO|SHOO.O|Steven Madden|2024 Q1|21.138476594356547|19.090234868508993|25|185|
|SHOO|SHOO.O|Steven Madden|2024 Q2|5.345992643914122|17.572568728638092|6.521739130434775|185|
|SHOO|SHOO.O|Steven Madden|2024 Q3|-13.08594949929348|13.015891969345|-11.494252873563216|185|
|SHOO|SHOO.O|Steven Madden|2024 Q4|2.150944415921312|12.045855990025284||185|

3. **Analyst Expectations**: The average analyst price target for SHOO is $39.75, with a consensus rating of "Neutral". This indicates that analysts are not overly optimistic about the stock's future performance, which could reflect a more cautious outlook on the company's ability to sustain earnings momentum.

4. **Market Conditions**: The broader market conditions, including potential impacts of economic factors, consumer behavior, and competition, can significantly influence SHOO's ability to sustain its earnings momentum. These factors are beyond the company's control and can affect consumer spending and overall demand for its products.

In conclusion, while Steven Madden has made strides in diversification and international expansion, the potential headwinds, including tariffs and market uncertainties, could impact its ability to sustain earnings momentum into 2025. The company's focus on strategic initiatives and market adaptation will be crucial in determining its future financial performance.