Back to top

Image: Shutterstock

SCVL Marks 11th Straight Year of Dividend Growth With 11% Increase

Read MoreHide Full Article

Shoe Carnival, Inc. (SCVL - Free Report) , a prominent footwear and accessories retailer, has announced an increase in its quarterly cash dividend. The company has approved a dividend payment of 15 cents per share, indicating an 11.1% rise. This adjustment brings the annualized dividend rate to 60 cents per share. The dividend is scheduled to be distributed on April 21, 2025, to its shareholders on record as of April 7.

This marks the company’s 52nd consecutive quarterly dividend and the 11th straight year of dividend growth. Notably, the new annualized rate represents a 238% increase compared with the dividend paid five years ago. 

The decision underscores the board’s confidence in the company’s growth trajectory and its commitment to maximizing shareholder value.

SCVL Stock Past Three-Month Performance

Zacks Investment Research
Image Source: Zacks Investment Research

Decent Financial Position & Debt-Free Status of SCVL

Shoe Carnival maintains a decent financial position despite challenges in revenue performance. At the end of third-quarter fiscal 2024, the company reported a cash balance, including cash equivalents and marketable securities, of $91 million. This represents an increase of $20 million compared with third-quarter fiscal 2023, demonstrating SCVL’s ability to generate liquidity even after funding the all-cash acquisition of Rogan’s Shoes earlier in the year. 

The company has also maintained a decent cash flow from operations, generating $58.1 million in the past nine months of fiscal 2024. Shoe Carnival’s favorable balance sheet and history of generating steady operating cash flow allow it to internally fund growth initiatives, including the store rebanner strategy, mergers and acquisitions, dividend payments and share repurchases. As of Nov. 21, 2024, the company had $50 million remaining under its share repurchase program for future buybacks. No shares were repurchased during the fiscal third quarter.

A key strength of the company’s financial standing is that it has remained debt-free for 19 consecutive years. This allows the company to fund its operations, growth initiatives and acquisitions without relying on external financing. The absence of debt ensures financial flexibility and reduces the risks associated with interest payments or leverage.

What More Investors Should Know About SCVL

We expect Shoe Carnival to report a year-over-year decrease in top line when it releases fourth-quarter fiscal 2024 earnings on March 20, before the market opens. Investors are closely monitoring for insights into the company's performance and strategic direction. 

Find the latest EPS estimates and surprises on Zacks Earnings Calendar.

The Zacks Consensus Estimate for fiscal fourth-quarter revenues is pegged at $263.9 million, which indicates a decrease of 5.8% from the prior-year figure. The consensus estimate for earnings per share has remained stable at 42 cents in the past 30 days, which indicates a decrease of 28.8% from the year-ago quarter.

Our proven model does not conclusively predict an earnings beat for Shoe Carnival this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that is not the case here. 

Shoe Carnival currently has an Earnings ESP of 0.00% and a Zacks Rank of 4 (Sell). You can uncover the best stocks before they are reported with our Earnings ESP Filter.

Stock Price Performance

Shares of the company have lost 34.2% in the past three months compared with the industry’s decline of 21.5%.

Three Picks You Can't Miss

Some better-ranked stocks are The Gap, Inc. (GAP - Free Report) , Deckers Outdoor Corporation (DECK - Free Report) and Urban Outfitters Inc. (URBN - Free Report) .

The Gap is a premier international specialty retailer offering a diverse range of clothing, accessories and personal care products. It flaunts a Zacks Rank of 1 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for The Gap’s fiscal 2025 earnings and revenues indicates growth of 7.7% and 1.5%, respectively, from the fiscal 2024 reported levels. GAP delivered a trailing four-quarter average earnings surprise of 77.5%.

Deckers is a leading designer, producer and brand manager of innovative, niche footwear and accessories. It currently carries a Zacks Rank #2.

The Zacks Consensus Estimate for DECK’s fiscal 2025 earnings and revenues implies growth of 21% and 15.6%, respectively, from the year-ago actuals. Deckers delivered a trailing four-quarter average earnings surprise of 36.8%.

Urban Outfitters is a lifestyle specialty retailer that offers fashion apparel and accessories, footwear, home décor and gift items. It has a Zacks Rank of 2 at present. The company delivered a 16.9% earnings surprise in the last reported quarter.

The consensus estimate for URBN’s fiscal 2025 earnings and revenues indicates growth of 11.8% and 6%, respectively, from the fiscal 2024 reported levels. URBN delivered a trailing four-quarter average earnings surprise of 28.4%.


Zacks' 7 Best Strong Buy Stocks (New Research Report)


Valued at $99, click below to receive our just-released report
predicting the 7 stocks that will soar highest in the coming month.


Click Here, It's Really Free

Published in