📊 CAL Key Takeaways
Is Caleres Inc. (CAL) a Good Investment?
Caleres exhibits severe operational distress with negative free cash flow despite massive revenue growth that appears anomalous (19,607% YoY), suggesting potential accounting irregularities or one-time events rather than sustainable business growth. The company's profitability margins have collapsed to near-zero levels with only 1.6% operating margin and 0.8% net margin, while liquidity metrics are strained with a quick ratio of 0.33x and interest coverage of just 1.8x, indicating insufficient operational efficiency and cash generation to support the business.
Caleres shows positive revenue scale and a healthy gross margin, but that profitability is not translating into strong earnings power. Operating margin, net margin, returns on capital, liquidity, and free cash flow are all weak, which suggests limited financial flexibility and low-quality growth. The reported revenue surge also appears inconsistent with the much smaller improvement in net income, raising caution about the durability and quality of recent growth.
Why Buy Caleres Inc. Stock? CAL Key Strengths
- Zero long-term debt providing financial flexibility
- Gross margin of 43.4% indicates retained pricing power despite operational challenges
- Positive operating cash flow of $40.5M suggests some underlying cash generation capability
- Gross margin of 43.4% indicates solid product-level economics
- Company remains profitable on a net income basis
- Reported long-term debt of $0.00 and debt/equity of 0.00x reduce balance-sheet leverage risk
CAL Stock Risks: Caleres Inc. Investment Risks
- Negative free cash flow of -$3.6M indicates capital expenditures exceed operating cash generation, threatening sustainability
- Alarmingly low profitability margins (1.6% operating, 0.8% net) demonstrate severe operational inefficiency and margin compression
- Weak liquidity position with quick ratio of 0.33x and current ratio of only 1.06x raises solvency concerns
- Anomalous revenue growth of 19,607% YoY is unexplainable by normal business operations and warrants investigation for accounting quality
- Diluted EPS declined 35.6% YoY despite claimed revenue growth, indicating severe shareholder value destruction
- Return metrics critically low (ROE 2.6%, ROA 0.8%) demonstrate poor capital efficiency
- Operating margin of 1.6% and net margin of 0.8% leave little buffer against cost pressure or demand weakness
- Liquidity is tight with a 1.06x current ratio, 0.33x quick ratio, and only $33.96M of cash
- Free cash flow is negative and interest coverage of 1.8x points to weak earnings support for fixed obligations
Key Metrics to Watch
- Free cash flow trend and path to positive FCF generation
- Operating margin expansion and revenue quality verification
- Quick ratio improvement and working capital management
- Debt covenant compliance given strained liquidity metrics
- Operating margin and net margin progression
- Free cash flow and inventory-driven working capital trends
Caleres Inc. (CAL) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Caleres Inc. presents a mixed fundamental picture. Review the detailed metrics above to form your own investment thesis.
CAL Profit Margin, ROE & Profitability Analysis
CAL vs Market Sector: How Caleres Inc. Compares
How Caleres Inc. compares to Market sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Caleres Inc. Stock Overvalued? CAL Valuation Analysis 2026
Based on fundamental analysis, Caleres Inc. has mixed fundamental signals relative to the Market sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Caleres Inc. Balance Sheet: CAL Debt, Cash & Liquidity
CAL Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Caleres Inc.'s revenue has remained relatively flat over the 5-year period, with a 4% decline. The most recent EPS of $4.80 reflects profitable operations.
CAL Revenue Growth, EPS Growth & YoY Performance
CAL Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2026 | $740.9M | $2.4M | $0.07 |
| Q2 2026 | $658.5M | $6.7M | $0.20 |
| Q1 2025 | $614.2M | $6.9M | $0.21 |
| Q3 2024 | $740.9M | $41.4M | $1.19 |
| Q2 2024 | $683.3M | $30.0M | $0.85 |
| Q1 2024 | $659.2M | $30.9M | $0.88 |
| Q3 2023 | $761.9M | $39.2M | $1.08 |
| Q2 2023 | $695.5M | $33.9M | $0.95 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Caleres Inc. Dividends, Buybacks & Capital Allocation
CAL SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Caleres Inc. (CIK: 0000014707)
📋 Recent SEC Filings
❓ Frequently Asked Questions about CAL
What is the AI rating for CAL?
Caleres Inc. (CAL) has a Combined AI Rating of SELL from Claude (SELL) and ChatGPT (SELL) with 77% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are CAL's key strengths?
Claude: Zero long-term debt providing financial flexibility. Gross margin of 43.4% indicates retained pricing power despite operational challenges. ChatGPT: Gross margin of 43.4% indicates solid product-level economics. Company remains profitable on a net income basis.
What are the risks of investing in CAL?
Claude: Negative free cash flow of -$3.6M indicates capital expenditures exceed operating cash generation, threatening sustainability. Alarmingly low profitability margins (1.6% operating, 0.8% net) demonstrate severe operational inefficiency and margin compression. ChatGPT: Operating margin of 1.6% and net margin of 0.8% leave little buffer against cost pressure or demand weakness. Liquidity is tight with a 1.06x current ratio, 0.33x quick ratio, and only $33.96M of cash.
What is CAL's revenue and growth?
Caleres Inc. reported revenue of $2.1B.
Does CAL pay dividends?
Caleres Inc. pays dividends, with $7.1M distributed to shareholders in the trailing twelve months.
Where can I find CAL SEC filings?
Official SEC filings for Caleres Inc. (CIK: 0000014707) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is CAL's EPS?
Caleres Inc. has a diluted EPS of $0.47.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is CAL a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Caleres Inc. has a SELL rating with 77% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is CAL stock overvalued or undervalued?
Valuation metrics for CAL: ROE of 2.6% (sector avg: 15%), net margin of 0.8% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy CAL stock in 2026?
Our dual AI analysis gives Caleres Inc. a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is CAL's free cash flow?
Caleres Inc.'s operating cash flow is $40.5M, with capital expenditures of $44.1M. FCF margin is -0.2%.
How does CAL compare to other Market stocks?
Vs Default sector averages: Net margin 0.8% (avg: 12%), ROE 2.6% (avg: 15%), current ratio 1.06 (avg: 1.8).