NEW YORK (TheStreet) -- Shares of Skechers U S A Inc. (SKX) are down -5.24% to $39.77 after the footwear company said it would explore acquiring an interest in the Los Angeles Clippers basketball team and is consulting with its advisors about leading an investment group to acquire an interest in the team.
The company is based in Manhattan Beach, California.
The stock was recently riding high after Olympic medalist Meb Keflezighi won the 2014 Boston Marathon and broke his personal record wearing the new Skechers GOmeb Speed 3 shoes, becoming the first American male to win this event since 1983, and the first American since 1985.
TheStreet Ratings team rates SKECHERS U S A INC as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:
"We rate SKECHERS U S A INC (SKX) a BUY. This is driven by some important positives, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures, solid stock price performance, impressive record of earnings per share growth and compelling growth in net income. Although no company is perfect, currently we do not see any significant weaknesses which are likely to detract from the generally positive outlook."