Designer Brands' (NYSE:DBI) stock price experienced a 13.8% increase following its announcement of improved fourth-quarter 2024 results. The company saw growth in Same-Store Sales and exceeded gross margin expectations, marking its first positive growth in nine quarters, indicating progress in its turnaround efforts. Despite a 5.4% decline in total revenue year-on-year, with lingering demand challenges, the management provided a positive outlook for low-single-digit revenue growth in 2025, although full-year EPS guidance fell short of expectations. While the quarter showed signs of recovery, the weak earnings guidance raised concerns.

Designer Brands' shares have shown high volatility, with 47 movements greater than 5% in the past year, reflecting significant market reaction to recent developments. Notably, the stock had a notable 27.7% drop six months ago due to second-quarter earnings missing expectations, leading to lowered same-store sales and earnings forecasts. This drop indicates a challenging quarter for the company.

The stock has fallen by 24.7% since the start of the year, currently trading at $3.99 per share, which is a 65.4% decrease from its 52-week high of $11.52 in March 2024. Investors who bought $1,000 worth of Designer Brands’ shares five years ago would now have an investment valued at $720.14.

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