TheStreet TV's Jack Mohr pointed out that Foot Locker beat on earnings per share and revenue estimates, while expanding gross margins in the quarter.
Other athletic shoemakers, like Nike (NKE) and Under Armour (UA) , also beat on top- and bottom-line earnings results in the most recent quarter. Admittedly though, these companies do have other business segments aside from shoes.
Two years ago, investor wrote off this "tarnished brand," as the FTC sanctioned the company due to its over-marketing the health benefits associated with its shoes, Mohr said.
But now, the stock is back and better than ever. In the most recent quarter, Skechers grew revenues and EPS by 30% and 80%, respectively. As one could imagine, this topped analysts' expectations.
This "high-octane growth will continue for the years to come," he said, as the company recognizes the important of offering its customers value. Sketchers' average selling price is just $40 for a pair of shoes.
The affordability is attractive for many consumers, especially as the global economy has had trouble gaining upside momentum. Sketchers has a "lean" business, Mohr added, and he's confident the company will continue growing international sales and keep taking domestic market share.
-- Written by Bret Kenwell