SCVL Overview

Top Rated Consumer Discretionary Stocks: The article highlights top-rated Consumer Discretionary stocks according to Validea's Value Investor model, which is based on Benjamin Graham's deep value methodology focusing on low P/B and P/E ratios, low debt, and solid long-term earnings growth.

Shoe Carnival Inc (SCVL): Shoe Carnival is a family footwear retailer with a 100% rating based on its fundamentals and valuation, operating approximately 431 stores across the U.S. and Puerto Rico, offering a wide range of branded footwear.

Carter's Inc (CRI): Carter's, a marketer of children's apparel, also received a 100% rating based on its fundamentals and valuation, with operations in the U.S., Canada, and Mexico, selling products through retail stores and e-commerce platforms.

Stride Inc (LRN) and Lennar Corp (LEN): Stride, a mid-cap value stock in the education sector, has an 86% rating, while Lennar, a large-cap homebuilder, has a 71% rating, both evaluated based on their underlying fundamentals and stock valuations.

New Share Repurchase Program: Shoe Carnival, Inc. announced a new share repurchase program for up to $50 million, effective from January 1, 2026, replacing the existing program set to expire on December 31, 2025.

Dividend Announcement: The company's Board of Directors approved a dividend of $0.15 per share, payable on January 26, 2026, to shareholders of record as of January 12.

Stock Performance: Following the announcement, Shoe Carnival shares rose more than 3% in pre-market trading after closing at $18.39 on Thursday.

Disclaimer: The views expressed in the article are those of the author and do not necessarily reflect those of Nasdaq, Inc.

Third Quarter Performance: Shoe Carnival reported third-quarter net sales of $297.2 million and EPS of $0.53, exceeding expectations, with Shoe Station showing a 5.3% sales increase while Shoe Carnival's sales declined by 5.2%.

One Banner Strategy Update: The company is transitioning to operate primarily under the Shoe Station brand, aiming for over 90% of its stores to be rebranded by the end of Fiscal 2028, which is expected to unlock $20 million in annual savings and $100 million in working capital.

Fiscal 2025 Outlook: Shoe Carnival reaffirmed its net sales outlook for Fiscal 2025 and updated its EPS forecast to a range of $1.80 to $2.10, reflecting strong third-quarter results and ongoing rebanner execution.

Financial Health: The company ended the quarter debt-free with $107.7 million in cash and marketable securities, continuing to self-fund operations and growth investments from operating cash flow.