Skechers (SKX) has a tough hill to climb as it navigates Trump's trade war. 

The shoemaker reported its first quarter results on Thursday after market close. It withdrew its 2025 guidance, citing "macroeconomic uncertainty stemming from global trade policies."

It had released in February that it expected 2025 sales of $9.70 billion to $9.80 billion, and diluted earnings per share of $4.30 to $4.50. The company said it doesn't plan to provide any updated guidance at this time. 

This trend could be indicative of future earnings for sportswear giants like Lululemon (LULU) and Nike (NKE), which also imports a substantial portion of their products. 

Tariffs have shaken up Skechers' plans, as it imports 100% of its US products. Around 40% are from Vietnam, while another 40% are from China, which now faces a 145% duty. 

Shares fell as much as 8% following the results in after-hours trading. Year to date, Skechers stock is down nearly 25%. Peers Nike (NKE), Deckers (DECK), and Crocs (CROX) are down around 22%, 45%, and 9%, respectively. The S&P 500 (^GSPC) has dropped nearly 7%. 

For the first quarter, the company met expectations, with adjusted earnings and revenue of $1.17 per share and $2.46 billion. 

Here's what Skechers reported, compared to analysts' expectations, per Bloomberg consensus: 

• Adjusted earnings per share: $1.17 versus $1.17

• Revenue: $2.46 billion versus $2.43 billion 

• Gross Margin: 52% versus 52.18% 

CFRA analyst Zach Warring warned for a "tougher macro environment in 2025 as excess savings are spent and consumer spending normalizes," and that "margin pressure from higher wage and marketing costs [are] offset by lower freight and input costs." He has a Hold rating on the shares.

Prior to the report, Warring said guidance will be key to watch. 

"If companies just withdraw guidance because of all the uncertainty ... you'll see a lot more companies follow suit over the next two months as they report," he explained. "You're probably going to have a kind of a domino effect, and these companies are going to think that's probably OK to do." 

There are currently 16 Buys, three Holds, and zero Sells on Skechers shares.

Warring called Skechers' "high exposure to China" a risk, though he told Yahoo Finance over the phone that "most of the tariff talk" has been priced in, as many sportswear stocks are "trading like the US is already in a recession."

He added that the investor caution is warranted, given the high tariffs on China. 

As of April 7, UBS analyst Jay Sole said "assuming" less than 40% of the company's total costs are tied to products sold in the US, Skechers would see a roughly 24% increase in its cost of goods "if it took no mitigation action." 

He added that it "will likely pass the bulk of the incremental tariff costs to its consumers via price increases." 

Sole has a Buy rating on shares, citing "solid potential" to "take market share as a value brand in a challenging consumer spending backdrop." 

Read more: What Trump's tariffs mean for the economy and your wallet

SOPA Images via Getty Images

CFO John Vandemore told Sole at a conference in early March that three "primary tools" to mitigate tariffs include working with vendors on price, evaluating its supply chain, and looking at what it produces in which market. 

"That is a very difficult calculus because what it involves for us is not just transit from a market like China or Vietnam to the US, but rather all the transits we do globally,” Vandemore said. 

Anti-American sentiment could be another roadblock for retailers as they navigate a litany of issues following Trump's tariffs.

"We haven't heard of any backlash yet for the companies we follow, but this is something we are watching closely given rising geopolitical tensions," particularly between the US and China, Bank of America analyst Lorraine Hutchinson wrote in a note.

That spells bad news for US brands with the most Chinese sales exposure, including Skechers, Nike, Coach owner Tapestry (TPR), and Ralph Lauren (RL).

—

Brooke DiPalma is a senior reporter for Yahoo Finance. Follow her on X at @BrookeDiPalma or email her at bdipalma@yahoofinance.com.

Click here for all of the latest retail stock news and events to better inform your investing strategy