Weyco Group (WEYS) AI Stock Analysis

• Market Cap: $303.55M
• Dividend Yield: 3.31%
• Average Volume (3M): 20.06K
• Price to Earnings (P/E): 10.4
• Beta (1Y): 0.92
• Revenue Growth: -5.46%
• EPS Growth: -1.09%
• Country: US
• Employees: 413
• Sector: Consumer Cyclical
• Sector Strength: 73
• Industry: Apparel - Footwear & Accessories
• EPS (TTM): 0.57
• Shares Outstanding: 9,578,689
• 10 Day Avg. Volume: 10,771
• 30 Day Avg. Volume: 20,063
• PEG Ratio: -2.72
• Price to Book (P/B): 1.20
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 11.58
• Enterprise Value/Market Cap: 0.79
• Enterprise Value/Revenue: 0.21
• Enterprise Value/Gross Profit: 1.85
• Enterprise Value/Ebitda: 1.44
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 73 Outperform
• Price Target: $35.00 ▲(10.44%Upside)

The overall stock score reflects Weyco Group's solid financial performance and attractive valuation, though tempered by mixed technical indicators and challenges highlighted in the earnings call. The company's strategic initiatives and strong brand performance offer potential for future improvement.

Weyco Group Business Overview & Revenue Model

Company Description

Weyco Group, Inc. designs and distributes footwear for men, women, and children. It operates through two segments, North American Wholesale Operations and North American Retail Operations. The company offers mid-priced leather dress shoes and casual footwear of man-made materials or leather; and outdoor boots, shoes, and sandals under the Florsheim, Nunn Bush, Stacy Adams, BOGS, and Rafters brand names. It is also involved in the wholesale of its products to approximately 10,000 footwear, department, and specialty stores, as well as e-commerce retailers. As of December 31, 2021, the company had four brick and mortar retail stores in the United States. In addition, it has licensing agreements with third parties, who sell its branded apparel, accessories, and specialty footwear. It serves in the United States, Canada, Europe, Australia, Asia, and South Africa. The company was formerly known as Weyenberg Shoe Manufacturing Company and changed its name to Weyco Group, Inc. in April 1990. Weyco Group, Inc. was incorporated in 1906 and is based in Milwaukee, Wisconsin.

How the Company Makes Money

Weyco Group generates revenue primarily through the sale of footwear across various distribution channels, including wholesale, retail, and e-commerce. The company's wholesale segment involves selling footwear to department stores, specialty retailers, and online retailers, which represents a significant portion of its revenue. The retail segment contributes through direct-to-consumer sales via company-owned retail stores and online platforms. Additionally, Weyco Group's international operations and licensing agreements with third parties for certain brands also provide supplementary revenue streams. The company's diversified brand portfolio and strategic partnerships with retailers enhance its market presence and drive its earnings.

Weyco Group Financial Statement Overview

Summary

Weyco Group demonstrates solid financial health with strong profitability margins, high equity ratio, and low leverage. While revenue and free cash flow have shown slight declines, the company maintains efficient operations and strong cash generation capabilities. Overall, Weyco Group is well-positioned in its industry, with a stable outlook and prudent financial management.

Income Statement

Weyco Group shows strong profitability with a Gross Profit Margin of 45.30% and a Net Profit Margin of 10.19% for TTM (Trailing-Twelve-Months). However, there is a slight decline in revenue with a Revenue Growth Rate of -1.22% from the previous annual period. The company maintains healthy EBIT and EBITDA Margins of 12.34% and 14.04% respectively, indicating operational efficiency. Despite the revenue shrinkage, overall margins remain robust.

Balance Sheet

The company's balance sheet is strong, with a low Debt-to-Equity Ratio of 0.05, indicating minimal leverage risk. The Return on Equity (ROE) is a solid 11.75%, reflecting good profitability from shareholders' investments. Additionally, the Equity Ratio stands at 83.03%, showcasing a high level of financial stability and low risk of insolvency.

Cash Flow

Weyco Group's cash flow is stable, with a Free Cash Flow Growth Rate of -28.75% compared to the previous year, primarily due to decreased operating cash flow. However, the company maintains a strong Operating Cash Flow to Net Income Ratio of 0.94 and a Free Cash Flow to Net Income Ratio of 0.89, indicating good cash generation relative to its net income. Despite the decline in free cash flow, the underlying cash flow metrics remain healthy.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
286.76M	290.29M	318.05M	351.74M	267.64M	195.38M
	Gross Profit
129.89M	131.53M	142.88M	144.39M	107.45M	78.56M
	EBIT
35.39M	36.61M	41.02M	40.37M	25.70M	-7.60M
	EBITDA
40.26M	42.53M	44.17M	43.17M	30.15M	-3.84M
	Net Income Common Stockholders
29.21M	30.32M	30.19M	29.54M	20.55M	-8.48M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
78.35M	71.81M	69.53M	18.37M	28.05M	34.69M
	Total Assets
303.27M	324.09M	309.34M	326.62M	277.67M	256.72M
	Total Debt
12.08M	11.07M	13.51M	45.82M	11.11M	11.98M
	Net Debt
-66.27M	-59.90M	-55.80M	28.95M	-8.60M	-20.50M
	Total Liabilities
55.16M	78.50M	64.85M	102.72M	76.27M	68.79M
	Stockholders Equity
248.11M	245.59M	244.49M	223.91M	201.40M	187.93M
Cash Flow		Free Cash Flow
25.89M	36.34M	95.32M	-32.25M	5.38M	36.61M
	Operating Cash Flow
27.52M	37.73M	98.63M	-29.90M	6.39M	39.98M
	Investing Cash Flow
-1.63M	-1.17M	-1.24M	7.43M	-7.00M	3.16M
	Financing Cash Flow
-30.77M	-32.22M	-45.34M	20.27M	-11.87M	-20.89M

Weyco Group Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 31.69
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For WEYS, the sentiment is Positive. The current price of 31.69 is below the 20-day moving average (MA) of 31.92, above the 50-day MA of 30.21, and below the 200-day MA of 32.42, indicating a neutral trend. The MACD of 0.33 indicates Positive momentum. The RSI at 53.40 is Neutral, neither overbought nor oversold. The STOCH value of 49.45 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for WEYS.

Weyco Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RCKY	74 Outperform	$173.99M	12.70	5.97%	2.66%	-2.01%	2.08%
SHOO	74 Outperform	$1.80B	10.69	19.51%	3.40%	10.17%	-4.71%
WEYS	73 Outperform	$303.55M	10.44	11.76%	3.31%	-5.46%	-1.09%
WWW	68 Neutral	$1.36B	18.93	25.29%	2.38%	-13.05%	―
CAL	64 Neutral	$455.48M	5.58	13.67%	2.10%	-4.84%	-49.08%
Sector *	62 Neutral	$6.93B	11.25	2.95%	3.88%	2.69%	-24.71%
VRA	48 Neutral	$61.98M	―	-28.34%	―	-20.99%	-976.24%

Weyco Group Corporate Events

Weyco Group Holds Annual Shareholders Meeting

On May 6, 2025, Weyco Group held its Annual Meeting of Shareholders. During the meeting, six directors were elected to the Board for terms expiring in 2026. Additionally, shareholders ratified the appointment of Deloitte & Touche, LLP as the independent registered public accounting firm for the year ending December 31, 2025, and approved the compensation of the company’s named executive officers.

Weyco Group Amends Bylaws Following Board Resignation

On February 28, 2025, Robert Feitler resigned from Weyco Group’s Board of Directors after serving since 1964, with his resignation not stemming from any disagreements with the company. His unvested stock options and restricted stock will vest on March 4, 2025. Additionally, effective March 4, 2025, Weyco Group’s Board amended its bylaws to adjust the number of directors to between six and eight, and removed language regarding the phased declassification of the Board, completed in 2023.