Wall Street Zen Downgrades Shoe Carnival (NASDAQ:SHOE) to Sell

Shoe Carnival (NASDAQ:SHOE) was downgraded by research analysts at Wall Street Zen from a “hold” rating to a “sell” rating in a research note issued on Saturday, Wall Street Zen reports.

SHOE has been the topic of a number of other reports. Weiss Ratings initiated coverage on Shoe Carnival in a report on Monday, June 15th. They set a “hold (c-)” rating on the stock. Zacks Research cut Shoe Carnival from a “strong-buy” rating to a “hold” rating in a report on Friday, June 12th. One analyst has rated the stock with a Strong Buy rating and two have assigned a Hold rating to the company. Based on data from MarketBeat.com, Shoe Carnival has a consensus rating of “Moderate Buy” and an average target price of $22.00.

Shoe Carnival Stock Performance

Shares of SHOE stock opened at $12.71 on Friday. Shoe Carnival has a 52-week low of $10.20 and a 52-week high of $24.10. The firm has a market cap of $345.46 million, a PE ratio of 14.44 and a beta of 1.40. The firm has a fifty day simple moving average of $14.82.

Shoe Carnival (NASDAQ:SHOE) last released its quarterly earnings data on Thursday, September 10th. The company reported $0.23 EPS for the quarter, missing analysts’ consensus estimates of $0.34 by ($0.11). The business had revenue of $284.31 million for the quarter, compared to the consensus estimate of $299.19 million. Shoe Carnival had a return on equity of 5.32% and a net margin of 2.20%.Shoe Carnival’s revenue was down 7.2% on a year-over-year basis. During the same period in the previous year, the business posted $0.70 earnings per share. Shoe Carnival has set its FY 2026 guidance at 0.750-0.900 EPS. On average, research analysts forecast that Shoe Carnival will post 0.82 EPS for the current year.

Institutional Investors Weigh In On Shoe Carnival

A number of hedge funds have recently made changes to their positions in SHOE. Global Retirement Partners LLC bought a new position in Shoe Carnival during the 4th quarter valued at about $28,000. Huntington National Bank grew its stake in Shoe Carnival by 45.5% during the fourth quarter. Huntington National Bank now owns 2,169 shares of the company’s stock worth $37,000 after buying an additional 678 shares during the last quarter. Kestra Advisory Services LLC bought a new stake in Shoe Carnival during the fourth quarter worth about $44,000. Integrated Wealth Concepts LLC bought a new stake in Shoe Carnival during the second quarter worth about $46,000. Finally, Legal & General Group Plc acquired a new stake in shares of Shoe Carnival during the second quarter worth approximately $56,000. Institutional investors and hedge funds own 66.05% of the company’s stock.

Shoe Carnival News Summary

Here are the key news stories impacting Shoe Carnival this week:

• Positive Sentiment: FY 2026 guidance was maintained or updated: Shoe Carnival projected earnings of $0.75–$0.90 per share for fiscal 2026. The guidance provides investors with a defined earnings outlook following the quarterly results. Shoe Carnival quarterly results press release
• Neutral Sentiment: Short-interest data showed no measurable bearish position: Reported short interest was zero shares, with a zero-day short-interest ratio. Because the figures were unchanged at zero and included an invalid percentage comparison, the data offers little meaningful insight into trading sentiment.
• Negative Sentiment: Quarterly earnings missed expectations: Shoe Carnival reported adjusted earnings of $0.23 per share, below consensus estimates ranging from $0.32 to $0.34 and well below $0.70 a year earlier. Revenue of $284.31 million also missed estimates of approximately $298–$299 million. Shoe Carnival earnings report
• Negative Sentiment: Sales trends deteriorated: Quarterly revenue declined 7.2% year over year, while the company reported a relatively low 3.31% net margin and 7.24% return on equity. The earnings decline raises concerns about promotional pressure, demand, and profitability.
• Negative Sentiment: Bearish options activity increased sharply: Investors purchased 5,887 put options, roughly 342% above typical put volume of 1,333 contracts. This unusually high activity indicates increased demand for downside protection or speculation on further weakness.

Shoe Carnival Company Profile

Shoe Carnival, Inc (NASDAQ: SCVL) is a U.S.-based specialty retailer offering a broad assortment of footwear, apparel and accessories for the entire family. Through its network of brick-and-mortar stores and e-commerce platform, the company provides casual, athletic and dress shoes for men, women and children, as well as complementary apparel, handbags, socks and other accessories designed to deliver value and variety. Its distinctive in-store carnival host service model aims to create an engaging shopping experience and foster customer loyalty.

Founded in 1978 and headquartered in Evansville, Indiana, Shoe Carnival has expanded over four decades to operate more than 350 retail locations across over 30 states.