Genesco (GCO) AI Stock Analysis

• Market Cap: $242.31M
• Dividend Yield: N/A
• Average Volume (3M): 279.78K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.97
• Revenue Growth: 1.85%
• EPS Growth: 22.34%
• Country: US
• Employees: 5,400
• Sector: Consumer Cyclical
• Sector Strength: 65
• Industry: Apparel - Retail
• EPS (TTM): -2.05
• Shares Outstanding: 10,778,805
• 10 Day Avg. Volume: 154,128
• 30 Day Avg. Volume: 279,783
• PEG Ratio: -1.32
• Price to Book (P/B): 0.46
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -7.38
• Enterprise Value/Market Cap: 3.54
• Enterprise Value/Revenue: 0.09
• Enterprise Value/Gross Profit: 0.78
• Enterprise Value/Ebitda: 3.35
• 1Y Price Target: $24.50
• Price Target Upside: 5.47% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 2

• Rating: 63 Neutral
• Price Target: $24.50 ▲(5.47%Upside)

Genesco's overall stock score is influenced primarily by its financial performance challenges, reflected in declining revenues and profitability issues. However, the positive earnings call outlook, with strong sales growth and strategic initiatives, provides some optimism. Technical indicators show a short-term bullish trend, while valuation remains a significant concern with a negative P/E ratio.

Positive Factors

Earnings

GCO reported solid 1Q results and reiterated its FY EPS guidance, despite now embedding the impacts of current tariffs.

Product Assortment

Journeys is experiencing significant progress with assortment upgrades, traction with remodels, and the closure of underperforming locations.

Sales Strategy

Management highlighted that they continue to see strength around key shopping events, which was a key driver in the decision to pull-forward marketing spend and gear up for important shopping seasons.

Negative Factors

Consumer Sentiment

The second-half outlook remains cloudy due to potential tariff impacts on consumer sentiment.

Macroeconomic Uncertainty

The company's mall-based exposure may make it more susceptible to discretionary downturns due to macroeconomic uncertainty.

Operating Margins

The company expects incremental pressure on 2Q operating margins and EPS as it pulls forward investment to drive second-half sales growth.

Genesco Business Overview & Revenue Model

Company Description

Genesco Inc. (GCO) is a Nashville, Tennessee-based specialty retailer that operates in the footwear, apparel, and accessories sectors. The company owns and operates a diverse portfolio of retail brands, including Journeys, Journeys Kidz, Little Burgundy, and Johnston & Murphy, as well as Schuh, a leading footwear retailer in the United Kingdom. Genesco's core products encompass a wide range of branded and private-label footwear, fashion accessories, and related merchandise, catering to various demographics through its extensive network of retail stores, e-commerce platforms, and wholesale distribution channels.

How the Company Makes Money

Genesco Inc. generates revenue primarily through the sale of footwear, apparel, and accessories via its branded retail stores, e-commerce websites, and wholesale operations. The company's key revenue streams include direct-to-consumer sales through its physical retail stores and online platforms, which are complemented by wholesale distribution to third-party retailers. Genesco's diverse brand portfolio allows it to target different customer segments, from teenagers to professional adults, thereby maximizing market reach. Significant partnerships with popular footwear and apparel brands, as well as exclusive product offerings, also contribute to its earnings. Additionally, the company benefits from economies of scale in procurement and distribution, enhancing profitability.

Genesco Financial Statement Overview

Summary

Genesco's financial performance is challenged by declining revenues and profitability, increasing leverage, and volatile cash flows. The company struggles with operational cash generation and requires strategic focus on enhancing operational efficiency and managing financial leverage.

Income Statement

Genesco's Income Statement reveals a challenging landscape with a declining revenue trend over recent years and negative net income in the TTM. The gross profit margin remains relatively stable, indicating cost management efficiency, but declining EBIT and EBITDA margins suggest operational challenges. Revenue growth has been negative over the past periods, highlighting a concerning trajectory in sales performance.

Balance Sheet

The Balance Sheet shows a moderate level of financial stability. Although the equity ratio is reasonable, indicating a balanced capital structure, the rising debt-to-equity ratio is a concern, suggesting increased leverage. Return on Equity has been negative, reflecting profitability issues, but the company retains a fair amount of stockholders' equity relative to total assets.

Cash Flow

Cash Flow analysis indicates significant volatility, with free cash flow turning negative in the TTM. The operating cash flow to net income ratio suggests operational inefficiencies, and the drop in free cash flow growth rate signals potential liquidity issues. Capital expenditures have been sustained, yet the ability to generate positive free cash flow remains inconsistent.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	2.33B	2.32B	2.38B	2.42B	1.79B
Gross Profit	1.10B	1.10B	1.14B	1.18B	804.47M
EBITDA	66.72M	35.84M	136.66M	190.36M	-59.66M
Net Income	-18.89M	-16.83M	71.92M	114.85M	-56.03M
Balance Sheet
Total Assets	1.34B	1.33B	1.46B	1.56B	1.59B
Cash, Cash Equivalents and Short-Term Investments	34.01M	35.16M	47.99M	320.52M	215.09M
Total Debt	485.09M	522.94M	580.43M	632.64M	734.04M
Total Liabilities	788.57M	758.69M	849.46M	959.63M	1.02B
Stockholders Equity	546.97M	571.20M	606.97M	602.47M	566.76M
Cash Flow
Free Cash Flow	46.75M	34.49M	-224.82M	185.97M	133.61M
Operating Cash Flow	87.89M	94.80M	-164.88M	239.87M	157.74M
Investing Cash Flow	-41.13M	-60.00M	-59.93M	-33.90M	-24.02M
Financing Cash Flow	-47.00M	-47.58M	-45.53M	-101.17M	-3.16M

Genesco Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 23.23
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GCO, the sentiment is Positive. The current price of 23.23 is above the 20-day moving average (MA) of 21.96, above the 50-day MA of 22.06, and below the 200-day MA of 29.07, indicating a neutral trend. The MACD of 0.39 indicates Negative momentum. The RSI at 56.14 is Neutral, neither overbought nor oversold. The STOCH value of 44.50 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GCO.

Genesco Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JILL	67 Neutral	$227.87M	6.70	41.77%	2.15%	-2.24%	-33.43%
GCO	63 Neutral	$242.31M	―	-3.07%	―	1.85%	22.34%
Sector *	63 Neutral	$16.78B	10.88	-7.08%	3.04%	1.73%	-25.15%
DBI	57 Neutral	$137.20M	―	-9.20%	7.12%	-4.22%	-386.70%
ZUMZ	54 Neutral	$234.75M	1,211.82	0.23%	―	3.01%	―
CTRN	52 Neutral	$247.41M	―	-29.52%	―	1.85%	-337.77%
PLCE	44 Neutral	$115.61M	―	-521.67%	―	-12.15%	75.86%

Genesco Corporate Events

Genesco Holds Virtual Annual Shareholder Meeting

On June 26, 2025, Genesco held its annual shareholder meeting virtually from its headquarters in Nashville, Tennessee, where shareholders voted on several key matters. All nine director nominees were elected, and shareholders approved the executive compensation plan, the Third Amended and Restated 2020 Equity Incentive Plan, and the appointment of Deloitte & Touche as the independent accountants for the fiscal year.

The most recent analyst rating on (GCO) stock is a Hold with a $40.00 price target. To see the full list of analyst forecasts on Genesco stock, see the GCO Stock Forecast page.