Wolverine World Wide Inc. (WWW – Snapshot Report) recently declared a quarterly dividend of 11 cents per share. The company pays an industry-leading yield of 1.6%.
Company Description
Wolverine World Wide markets branded casual, active lifestyle, work, outdoor sport and uniform footwear and apparel. The company offers well-known brands like Bates®, Chaco®, Cushe(TM), Hush Puppies®, HYTEST®, Merrell®, Sebago® Soft Style® and Wolverine®. Wolverine is also the exclusive footwear licensee of popular brands, including CAT®, Harley-Davidson® and Patagonia®. The company’s products are sold retailers in the U.S. and globally in 180 countries and territories.
Rewarding Shareholders
The company recently declared a quarterly dividend of 11 cents per share, which is payable on February 1 to shareholders of record on January 4.
Wolverine pays an industry-leading yield of 1.6%.
Bullish Forecasts and Solid Momentum
The company continues to see a higher Zacks Consensus Estimate. Analysts lifted current full-year earnings forecasts to $1.75 per share, compared to the 3 months-ago level of $1.68. For the following year, analysts polled by Zacks are calling for earnings of $1.98 per share, up from the 3 months-ago level of $1.87.
The stock, which saw a nice spike on a strong third quarter and now trading near a 52-week high, has outpaced the market over the past year.
Stellar Quarterly Results
Wolverine World Wide posted third-quarter earnings of 62 cents per share, eclipsing the Zacks Consensus Estimate by 11%. During the past 4 straight quarters, the company delivered an average upside earnings surprise of 15%.
Revenue was down 6.9% year-over-year.
“We are very pleased with our third quarter results, as the Company continues to deliver excellent earnings performance in the most challenging economic environment that many of us have ever experienced,” stated Blake W. Krueger, the Company’s CEO and President. “We remain confident that our multi-brand, multi-country business model and our execution against that model can deliver exceptional results in a variety of economic climates.”
Strong Fundamentals
Wolverine World Wide boasts a solid balance sheet, showing no debt. The company’s return on equity (ROE) of 20% more than doubles the industry average of 8%. Its net profit margin of 6% doubles the industry average of 3%.
Source: Zaks.com, December 30, 2009
