What is Skims’ stock price, and are they publicly traded? Unfortunately, investors cannot purchase shares of Skims because it is a private company. However, H&M (OTC: HNNMY), Lululemon (NASDAQ: LULU), and PVH Corp (NYSE: PVH) are clothing stocks that traders can invest in.
Have you been keeping up with the Kardashians? Not the TV show, but specifically with Kim Kardashian. Along with Jens and Emma Grede, the trio launched the shapewear and clothing brand Skims in 2019. The company focuses on body positivity and inclusivity, offering various sizes. Skims is preparing for an IPO in 2024, which is expected to be one of the year’s most anticipated consumer brand IPOs.
The company is sending a positive message and strongly influences Gen Zers and millennials, which can help boost its popularity even further. You need to know everything about Skims before its stock goes public.
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Skims Introduction (No Stock Symbol)
Skims was co-founded in 2019 by Kim Kardashian, who owns 35% of the company, Emma Grede and Jens Grede. Initially, the company launched under “Kimono Intimates,” but the name was later changed to Skims. The company’s focus is body positivity and size inclusivity across its shapewear, loungewear, and swimwear products. As it expanded its product offerings, the company began to grow quickly. And why a Skims stock is coming.
The initial Skims launch in 2019 was extremely successful. It generated over $2M in sales and sold all its merchandise within 10 minutes. The company claims to have sold over 3M products in its first year. Kim Kardashian’s Instagram followers (the total US population is 333M) probably had much to do with this success. Today, you can find Skims products on various platforms:
- Skims.com: Skims is sold exclusively on their website.
- Select retailers worldwide: Skims products are also available through retail partners in-store and online.
- Pop-up locations: Skims has opened several pop-up stores in strategic fashionable locations such as Los Angeles, Paris, ManhManhattan’skefeller Center, and the UK. This helped increase brand awareness and help influencers promote the brand.
- Nordstrom (NYSE: JWN): Skims products are available on the Nordstrom website and in some Nordstrom stores.
Skims Products
Skims products focus on shapewear. What’s that exactly? Shapewear refers to specialized undergarments designed to smooth, shape, and sculpt the body. Shapewear aims to create a sleeker, more streamlined silhouette by targeting specific areas like the waist, hips, thighs, and stomach.
Skims’ popular products include thongs, bras, tank tops, and long-sleeve dresses. You can find the entire collection on the company’s website. Let’s talk about Skims stock.
Skims Stock IPO
Recent fashion IPOs (Birkenstock, Dr Martens, and ThredUp) have struggled due to a lack of investor confidence, inflationary pressures, and a focus on growth rather than profitability. Other established fashion brands (Macy’s) have been forced to close some stores to remain in business.
On the other hand, Skims brings a fresh and inclusive perspective to the industry. It can be seen as an important shift in the fashion industry, historically lacking diversity and representation.
The success of Skims could encourage other fashion brands to adopt a more inclusive, customer-centric model. Skims stock could help Wall Street’s appetite for fashion investments.
Skims Stock Numbers
For now, Skims remains a private company and doesn’t have to report its quarterly statements to the SEC. The company’s exact revenue and profits, therefore, remain unknown. Here is what we know from various announcements ahead of its anticipated IPO due in 2024 (or early 2025):
- 2022 revenue: $500M
- 2023 revenue: $750M (estimated net profit $190M).
- Valuation as of July 2023: $4B, which makes it one of the most valuable consumer brands in the world. The valuation was $3.2B in 2022 after a $240M Series B funding.
- Skims has raised $670M across all its funding rounds since launching in 2019.
These numbers indicate that Skims is a profitable business, with strong margins that have allowed it to grow rapidly. However, this isn’t enough to paint a complete company picture. Further numbers and information will be released ahead of the Skims stock IPO.
Skims Stock Competitors
Skims has many competitors in the fashion industry. Very few companies currently focus on shapewear, giving Skims an early advantage. However, someone can replicate it easily. One of Skim’s main advantages is its co-founder, Kim Kardashian, and the brand’s message.
The company must rely heavily on those aspects to remain competitive and successful. Here are some of Skims stock competitors.
1. Hennes Mauritz ADR (H&M) (OTC: HNNMY)
H&M has over 3,800 stores across 77 markets, with online sales available in 60 markets. Both H&M and Skims are clothing and apparel companies that offer a range of products, including women’s clothing and accessories.
Additionally, as an ultra-fast-fashion retailer, H&M’s affordable pricing and trend-driven collections position it as a competitor to Skims. It also aims to provide accessible and fashionable intimate apparel and loungewear options. Both companies seek to capture market share from the same customer base. But Skims stock could be a better investment.
2. Louis Vuitton (OTC: LVMUY)
Louis Vuitton is one of the most recognized luxury brands in the world. It is a luxury conglomerate with a portfolio of high-end fashion, leather goods, cosmetics, and other luxury brands. It is also one of the most counterfeited brands.
Both companies operate in different segments of the consumer market. However, LVMH’s CEO, Bernard Arnault, has its hands in many complementary businesses through the family’s investment firm Financière Agache and the private equity group L Catterton (which has LVMH as a significant stakeholder).
One example is Birkenstock. If Mr Arnault sees some success in Skims stock, he might try replicating it.
3. Simon Property Group Inc (NYSE: SPG)
Forever 21 is owned by multiple groups (37.5% by Authentic Brands Group, 37.5% by Simon Property Group, and 25% by Brookfield Property Partners). These groups acquired it after filing for bankruptcy in 2020.
Forever 21 and Skims are fashion retailers competing for the same consumer base, looking for affordable and trendy clothing options. Both brands offer shapewear for different clothing styles. As Skims continues to expand into activewear and lounge apparel, the competition between both brands will increase.
4. Industria De Diseno Textil (OTC: IDEXY)
Industria De Diseno Textil Inditex (Inditex) operates brands similar to H&M (Zara, Massimo Dutti, Bershka, Pull & Bear). They sell mainstream casual and formal clothing, accessories, and home goods but do not have a significant presence in the shapewear or intimate apparel market that Skims operates in.
Inditex and Skims are complementary players in the fashion industry until their product offerings overlap.
5. PVH Corp (NYSE: PVH)
PVH Corp operates popular brands such as Calvin Klein and Tommy Hilfiger. The company’s direct competitors are H&M, Zara, Ralph Lauren and Forever 21. Currently, PVH and Skims aren’t competitors until their products overlap.
6. Lululemon (NASDAQ: LULU)
Lululemon and Skims will be fierce competitors for years to come. Both companies operate in the activewear and athleisure apparel market. They target a similar customer base interested in comfortable, stylish clothing for everyday wear and workouts.
Skims is quickly expanding its products to match Lululemon’s core products. Both brands are premium, have very loyal customers, and appeal to similar demographics.
7. Blackstone (Spanx) (NYSE: BX)
We conclude this section with Spanx, which Blackstone owns. It has been a dominant brand in shapewear since its founding in 2000. It is known for its high-quality, body-shaping products that smooth and sculpt the figure.
Spanx may be a more established brand, but some reviewers found the Skims bodysuit more effective at smoothing and shaping the body than Spanx.
Final Thoughts: Skims Stock
To conclude, Skims is a fashion brand co-founded by American media personality Kim Kardashian. Her huge following and the brand’s positive message are the biggest factors contributing to its success. The company is preparing an IPO that could change the dynamics of the fashion industry.
We don’t have the exact date yet, but it is anticipated by the end of 2024. Skims will have to compete with other brands (Lululemon, Spanx) for market share to be even more successful. The company’s market share rose to $4B in less than five years, which could increase even further. Keep an eye out for Skims stock!
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Frequently Asked Questions
Skims is getting ready for an IPO for later in 2024.
Skims’ most recent valuation is $4B, dating to 2023.
Skims CEO Jens Grede claimed that the company had $750M in revenue in 2023 and $190M in net profit that year. Since it is a private company and doesn’t have to report to the SEC, those numbers aren’t official.
Kim Kardashian owns 35% of Skims.
