sportstyle

34 • sportstyle • March 2021 sportstylemag.com By Bob McGee W hile a day-to-day, week-to- week, or quarterly focus on the relative financial health and stability of individual companies is the norm, it is also useful to take a broader look at performance over several years. A t s p o r t s t y l e p a r e n t c o m p a n y Formula4Media, our umbrella of publications includes, among others, Footwear Insight and Footwear Insight Extra. In our weekly Footwear Insight Extra newsletter, we have been tracking 20 footwear industry stocks since the end of 2017, tracking their individual performances week to week and comparing their aggregate increase or decrease on percentage basis to the Dow's performance over the same period. From time to time, we make changes to the list of 20 stocks, most recently swapping in JD Group, the U.K. parent of the Finish Line, and Steve Madden out. Here, and on the accompanying chart, you will see the performance of the brands we track since 2017. To more clearly understand the INDEX list: the aggregate price of the 20 stocks on the last trading day of 2017 represents a score of '100' for the INDEX. Those stocks listed on international exchanges—Asics and Mizuno in Japan; Geox in Italy and the aforementioned JD in the United Kingdom—have their day-end stock price converted to U.S. dollars at the average exchange rate for the particular day. I n look ing at how t he I N DE X ha s performed since its inception, the results show that six stocks, led by Crocs, Deckers and retailer Boot Barn on a percentage basis, rose triple-digits over the 3+ year span. Overall, 15 stocks rose and five declined, led by Geox and retail parents Caleres and Designer Brands on a percentage basis. A Closer Look at Brand Developments Here's our take on what the brands on our INDEX have been up to in the past 12 months and what they have in store for 2021. Designer Brands had a difficult 2020 and is forecast to have a poor H1/21, but the fortunes of the DSW parent should improve in H2/21 with most of its stores open and higher product demand from its customers, who will see the banner, both online and off, carry a larger mix of athleisure products. CAL, meanwhile, saw its Famous Footwear business lose 1,700 business days in 2020 due to pandemic-forced store closures, Zooming Out: A Rising Tide Footwear Industry Brands Outperform the Dow. FOOTWEAR INSIGHT INDEX

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