- Caleres (NYSE:CAL) rose 7.6% after the company was added to Hedgeye's Best Ideas Long list by analysts Brian McGough and Jeremy McLean.
- Hedgeye said it's about 50% ahead of consensus estimates at $2.30 (Street at $1.62) with a 12x historical multiple gets to a price target of $29, or 52% upside.
- Designer Brands (NYSE:DBI) was also added to Best Ideas list and was called an "underfollowed and misunderstood" company that has earnings power.
- ."There’s sheer apathy towards DBI, something that will change dramatically as key levers on the P&L inflect meaningfully to the upside," Hedgeye wrote. "That is when we think we will see a low to mid-teens multiple on something closer to $2.50 in earnings – or a $30-$40 stock.”
- Designer Brands down 0.3%.
- Hedgeye will hold a call on DBI & CAL calls at 10am.
- Recall March 16, Caleres EPS beats by $0.04, beats on revenue.