Weyco Group's 15min chart triggered KDJ Death Cross, Bearish Marubozu, Bearish Signal

Weyco Group's 15-minute chart has recently triggered a KDJ Death Cross and a Bearish Marubozu pattern, which occurred at 10:30 on August 15, 2025. This indicates that the momentum of the stock price is shifting in a bearish direction, with a potential for further decline. Sellers are currently in control of the market, and the bearish momentum is likely to continue.

Weyco Group (NASDAQ: WEYS) has recently experienced a significant shift in its stock price momentum, as indicated by the triggering of a KDJ Death Cross and a Bearish Marubozu pattern on its 15-minute chart. This occurred at 10:30 on August 15, 2025, signaling a potential decline in the stock price. The technical indicators suggest that sellers are currently dominating the market, and bearish momentum is likely to persist [3].

The company's earnings for the second quarter of 2025 have also been affected by various challenges. Weyco reported a 9% decline in net sales and a 60% drop in net earnings compared to the same period last year. Gross margins were relatively stable, with a 60 basis point decrease, despite a 10% fall in revenues [1].

The earnings decline was primarily driven by reduced consumer spending amid heightened economic uncertainty, compounded by higher import costs from tariffs. The China-specific tariff, which peaked at 145% in April 2025, temporarily eased to 30% in mid-May for a 90-day period ending Aug. 12, 2025. Additional tariffs on non-China imports remained at 10% during the quarter but are set to rise to 19–25% in August [2].

Weyco's reliance on China for 60% of its footwear sourcing has made it particularly vulnerable to these tariffs. The company has begun diversifying its sourcing to countries such as Vietnam, Cambodia, and India, but the impact of these efforts is yet to be fully realized [1].

Despite the challenges, Weyco maintains a strong financial position with $85 million in net cash and no debt. The company has also been returning earnings to shareholders through dividends and share repurchases. However, the stock's valuation remains high, trading at a market cap of $285 million versus $25 million in TTM net income, which is not reflective of the challenges ahead [1].

Management has cautioned that continued top-line pressure is expected in the coming months, with ongoing challenges from tariffs and weak consumer sentiment. The second half of the year may also be affected by seasonal category softness and continued volume weakness in the BOGS brand [2].

In conclusion, while Weyco Group has shown resilience in the face of tariff pressures and economic uncertainty, the recent technical indicators suggest that the stock price may continue to decline. Investors should closely monitor the company's progress in diversifying its supply chain and navigating the challenging market conditions.

References:
[1] https://seekingalpha.com/article/4813419-weyco-is-exposed-to-tariffs-and-earnings-are-halving-but-the-stock-has-barely-adjusted
[2] https://www.nasdaq.com/articles/weyco-q2-earnings-slide-y-y-tariff-demand-pressures
[3] https://www.ainvest.com/news/weyco-group-15min-chart-triggers-macd-death-cross-bearish-marubozu-formation-2508/