When Skechers (SKX) posted quarterly results last week, shares tumbled. SKX stock retested the $47.79 lows established earlier this month.
The firm, which competes with Crocs (CROX), Nike (NKE), and Adidas (ADDYY) trades at a price-to-earnings of around 12 times. Revenue increased by 7.1% Y/Y to $2.41 billion. Unfortunately, the macroeconomic uncertainty related to global trade policies (Trump tariffs) forced Skechers to withdraw its financial guidance.
Johnson & Johnson (JNJ) risks re-testing the $142 - $150 low in the weeks ahead. The firm is forecasting a $400 million cost related to newly imposed tariffs. On April 15, CFO Joseph Wolk said that trade levies on its MedTech division will hurt quarterly results. Fortunately, this cost is a small percentage of the $90 billion in sales.
Watch out for talc lawsuits to hurt JNJ’s stock price, creating a buying opportunity.
P&G (PG) slumped to the $160 price level, a support price established in January. The firm cut its profit guidance in its fiscal third quarter report posted on April 24. P&G is experiencing heightened consumer volatility. They are reacting to a volatile investing portfolio, an uncertain economic outlook, and a weakening job market. To offset a fall in retail traffic, P&G will rely on its attractive branding. It will double down on innovation, widening its superiority over its competitors.
