What Happened?

A number of stocks fell in the morning session after the Trump administration's announcement of new global tariffs, reignited trade policy uncertainty. The move came swiftly after the Supreme Court ruled the previous week that the president could not use the International Emergency Economic Powers Act (IEEPA) for such duties, a decision that had initially sent markets higher. However, the administration invoked a different authority, the Trade Act of 1974, to impose a 15% global tariff for up to 150 days. The rapid reimposition of trade barriers creates significant uncertainty for companies across multiple sectors that depend on international supply chains and global trade. Investors are now weighing the potential impact of these new duties on corporate earnings and broader economic activity.

The stock market overreacts to news, and big price drops can present good opportunities to buy high-quality stocks.

Among others, the following stocks were impacted:

• Consumer Discretionary - Casino Operator company Wynn Resorts (NASDAQ: WYNN) fell 8%. Is now the time to buy Wynn Resorts? Access our full analysis report here, it’s free.
• Consumer Discretionary - Casino Operator company Caesars Entertainment (NASDAQ: CZR) fell 6.2%. Is now the time to buy Caesars Entertainment? Access our full analysis report here, it’s free.
• Consumer Discretionary - Casino Operator company PENN Entertainment (NASDAQ: PENN) fell 7.8%. Is now the time to buy PENN Entertainment? Access our full analysis report here, it’s free.
• Consumer Discretionary - Casino Operator company Red Rock Resorts (NASDAQ: RRR) fell 6.8%. Is now the time to buy Red Rock Resorts? Access our full analysis report here, it’s free.
• Consumer Discretionary - Footwear company Steven Madden (NASDAQ: SHOO) fell 8.7%. Is now the time to buy Steven Madden? Access our full analysis report here, it’s free.

Zooming In On Steven Madden (SHOO)

Steven Madden’s shares are very volatile and have had 26 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business.

The previous big move we wrote about was 18 days ago when the stock dropped 8.2% on the news that Jefferies downgraded the stock to Underperform, warning of risks from ongoing weakness in its wholesale business and pushback on price hikes. The brokerage argued that Wall Street may have underestimated these challenges in its earnings forecasts. The concerns were echoed in a note from BTIG, which pointed out that headwinds from the previous year were expected to persist into 2026, especially in the private label business. To account for this, BTIG reduced its 2026 revenue estimates, anticipating a decline in that segment which could drag on overall top-line growth.

Steven Madden is down 14.3% since the beginning of the year, and at $36.14 per share, it is trading 21.8% below its 52-week high of $46.23 from January 2026. Investors who bought $1,000 worth of Steven Madden’s shares 5 years ago would now be looking at an investment worth $966.50.

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