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NEW YORK (TheStreet) -- Shares of Genesco (GCO) - Get Genesco Inc. Report are surging by 9.23% to $64.29 on heavy trading volume late Thursday afternoon, following the company's better-than-expected earnings for the 2017 fiscal first quarter.

Before today's opening bell, the Nashville-based footwear and apparel retailer posted adjusted earnings of 62 cents per diluted share, exceeding analysts' estimates of 39 cents per share.

Revenue declined by 2% to $648.8 million from last year and was below analysts' forecasts of $658.8 million.

Consolidated comparable sales, including same store sales and e-commerce and catalog sales, increased 1%.

"We are pleased with the increase in first quarter profitability, which exceeded our expectations, driven by a significantly better performance from the Lids Sports Group," CEO Robert Dennis said in a statement.

"While overall comparable sales were at the lower end of our projected range, this was more than offset by a meaningful improvement in gross margin," he added.

For fiscal 2017, Genesco sees earnings per share between $4.80 and $4.90, while analysts are modeling earnings of $4.84 per share.

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The company's brands include Lids Sports, Journeys, Schuh and Johnston & Murphy.

About 1.04 million of the company's shares were traded by late this afternoon compared to its average 30-day volume of 199,237 shares per day.

Separately, TheStreet Ratings Team has a "Buy" rating with a score of B- on the stock.

The company's strengths can be seen in multiple areas, such as its revenue growth, attractive valuation levels, good cash flow from operations, largely solid financial position with reasonable debt levels by most measures and expanding profit margins.

The team believes its strengths outweigh the fact that the company has had sub par growth in net income.

Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.

You can view the full analysis from the report here: GCO

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