Wolverine World Wide posted a solid Q2 2026, led by Merrell and Saucony, and raised full-year guidance to about $1.98–$2.00 billion in revenue with $1.48–$1.58 in diluted EPS. The company also guides gross margin to about 46.9% for 2026 amid tariff headwinds, while cash rose to $159 million and net debt fell to $443 million. Expect a near-term stock reaction to the brighter outlook, though tariff-related margin pressure remains a risk.
Wolverine stock fell nearly 21%, its largest drop in two years. Company's soft 2025 guidance doesn't meet analyst expectations. Net income increased to $24.6 million, improving from last year's loss. Gross margins improved significantly to 44% despite revenue decline. Stock has dropped 33% year-to-date, underperforming S&P 500.
Wolverine World Wide shares rose following strong quarterly results. Analyst upgrades recommendation from Hold to Buy, price target increased to $29. Company's earnings growth potential is strong, aided by lower debt and expenses. 156% year-to-date rally supports optimism about growth into 2025. Positive momentum from Spring orders and Saucony brand supports future growth.
