Designer Brands Wins Court Order in Worldpay Dispute

Designer Brands ( (DBI) ) has issued an update.

On January 27-28, 2026, Designer Brands Inc. initiated legal action in an Ohio state court to block Worldpay LLC from prematurely terminating a long-standing bank card merchant agreement that provides credit and debit card processing for nearly all of the company’s U.S. DSW store sales and more than half of its U.S. online sales, an agreement that is contractually set to expire on May 31, 2026. The court issued a temporary restraining order on January 28, 2026, finding the company likely to succeed on its breach-of-contract and declaratory claims, after Worldpay alleged a financial default, issued a termination notice effective February 2, 2026, and later a non-renewal notice, while also proposing a three-month transition period at substantially higher fees that Designer Brands calls commercially unreasonable; the company disputes any default, notes it has paid Worldpay in full and on time over nearly 12 years, is seeking damages and injunctive relief, and is urgently pursuing alternative short-, medium-, and long-term payment processing solutions to mitigate the risk of being unable to process a majority of its card transactions, which could materially harm its operations and financial performance.

The most recent analyst rating on (DBI) stock is a Hold with a $7.00 price target. To see the full list of analyst forecasts on Designer Brands stock, see the DBI Stock Forecast page.

Spark’s Take on DBI Stock

According to Spark, TipRanks’ AI Analyst, DBI is a Neutral.

Designer Brands’ overall stock score is influenced by financial challenges, including high leverage and negative profitability. Despite strong technical indicators suggesting bullish momentum, valuation concerns and sales declines in key markets weigh on the score. The earnings call provided some positive insights with sequential improvements, but the overall outlook remains cautious.

To see Spark’s full report on DBI stock, click here.

More about Designer Brands

Designer Brands Inc. operates the DSW Designer Shoe Warehouse chain of nearly 500 stores in the United States and sells footwear primarily through in-store and online channels, where credit and debit card transactions account for nearly all in-store sales and more than half of online sales, making payment processing services critical to its retail operations.

Average Trading Volume: 1,143,646

Technical Sentiment Signal: Buy

Current Market Cap: $343M

For detailed information about DBI stock, go to TipRanks’ Stock Analysis page.