WWW Stock Forecast & Price Target

Wolverine World Wide Inc. is projecting a significant revenue increase for FY25, with estimates ranging from $1.855 billion to $1.870 billion, representing a year-over-year growth of approximately 6.0% to 6.8%. The company’s gross margin is anticipated to improve to around 46.3%, reflecting a 270 basis point increase year-over-year, while the operating margin is also expected to rise to 10.5%, benefiting from both a stronger product pipeline and strategic pricing. Additionally, the Active Group segment, which includes brands like Merrell and Saucony, is positioned to drive substantial revenue growth, anticipated at a mid-teens year-over-year rate, underscoring the company's robust market positioning and operational execution.

Wolverine World Wide Inc. is experiencing foundational challenges reflected in its financial metrics, including a decline in both ongoing revenues and direct-to-consumer (DTC) sales, which fell by 5.7% and 4.9% year-over-year, respectively. The company's projected gross margin for the upcoming fiscal year is expected to be 45%-46%, which is below the prior consensus estimate, indicating potential pressure on future earnings. Additionally, the sluggish recovery within the Work Group segment, exacerbated by ongoing tariff impacts and a challenging macro environment, raises concerns regarding the sustainability of the company’s growth trajectory.