Steven Madden shows relatively strong fundamentals and is coming back to a strong support.
In the recent months, the earnings estimates for the next year are regularly revised upward by analysts. With an EPS estimated at USD 1.99 for 2013 and USD 2.1 for 2014, the company is currently paid 17 and 16.1 times the results.
Steven Madden is in trouble since the recent downgrade to neutral by Piper Jaffray. This opinion do not change the good orientation in weekly data. In daily data, prices are coming back to a strong support at USD 33.5. Thus, the stock could find new energy and would rise towards the USD 35.6 resistance. This strategy is reinforced by the gap opened around USD 35.25.
The trading strategy can benefit from the proximity of the strong support currently tested in order to buy Steven Madden in a good timing. Investors might place a stop loss order at USD 32.8 in order to avoid important losses.
Steven Madden, Ltd., and its subsidiaries designs, sources, and markets fashion-forward branded and private label footwear, accessories, and apparel. The Wholesale Footwear segment designs, sources, and markets its brands and sells its products to department stores, mass merchants, off-price retailers, shoe chains, online retailers, national chains, specialty retailers, independent stores, and clubs. The Wholesale Accessories/Apparel segment designs, sources, and markets its brands and sells its products to department stores, mass merchants, off-price retailers, online retailers, specialty retailers, independent stores, and clubs. The Direct-to-Consumer segment consists of Steve Madden and Dolce Vita full-price retail stores, Steve Madden outlet stores. Its Licensing segment is engaged in the licensing of the Steve Madden and Betsey Johnson trademarks for use in the sale of select apparel, accessory, and home categories as well as various other non-core products.
STEVEN MADDEN, LTD. 
