Zacks Investment Research lowered shares of Capri (NYSE:CPRI) from a hold rating to a sell rating in a report published on Thursday morning, Zacks.com reports. They currently have $33.00 price target on the stock.
According to Zacks, “Shares of Capri Holdings have declined and underperformed the industry in the past six months. The company’s trimming of fiscal 2020 sales forecast due to adverse foreign currency fluctuations and lower Michael Kors revenue might have hurt investor sentiment. Also, a top line miss and year-over-year fall in the bottom line during the first quarter were not well perceived. Management expects Michael Kors’ revenue to decline moderately in the second quarter with operating margin expected to be lower than the year-ago period. Nonetheless, we believe that constant deployment of resources to expand product offerings and upgrade distribution infrastructure along with cost containment efforts, focus on e-commerce platform and accretive buyouts bode well. Also, lowered full-year revenue view still indicates year-over-year improvement.”
Other research analysts also recently issued reports about the company. Nomura dropped their price target on Capri from $76.00 to $60.00 and set a buy rating on the stock in a research report on Wednesday, June 5th. MKM Partners lowered their price objective on Capri to $35.00 and set a neutral rating on the stock in a research report on Monday, August 12th. Canaccord Genuity restated a buy rating and set a $67.00 price objective (down from $76.00) on shares of Capri in a research report on Thursday, May 30th. They noted that the move was a valuation call. Needham & Company LLC restated a buy rating and set a $50.00 price objective (down from $54.00) on shares of Capri in a research report on Thursday, August 8th. Finally, Wells Fargo & Co lowered their price objective on Capri from $48.00 to $40.00 and set a market perform rating on the stock in a research report on Thursday, May 30th. Two analysts have rated the stock with a sell rating, six have issued a hold rating and seven have assigned a buy rating to the stock. Capri has a consensus rating of Hold and a consensus price target of $49.92.
NYSE CPRI traded down $0.10 during trading on Thursday, hitting $32.10. The company’s stock had a trading volume of 205,443 shares, compared to its average volume of 3,623,929. The company has a quick ratio of 0.42, a current ratio of 1.03 and a debt-to-equity ratio of 1.58. The firm has a 50 day moving average price of $30.07 and a 200 day moving average price of $38.28. The firm has a market cap of $4.76 billion, a P/E ratio of 6.46, a price-to-earnings-growth ratio of 1.12 and a beta of 0.82. Capri has a 52 week low of $25.25 and a 52 week high of $74.17.
Capri (NYSE:CPRI) last issued its quarterly earnings results on Wednesday, August 7th. The company reported $0.95 EPS for the quarter, topping the Thomson Reuters’ consensus estimate of $0.90 by $0.05. The company had revenue of $1.35 billion for the quarter, compared to the consensus estimate of $1.37 billion. Capri had a return on equity of 30.29% and a net margin of 7.45%. The company’s revenue for the quarter was up 11.9% on a year-over-year basis. During the same period in the previous year, the business posted $1.32 EPS. On average, equities analysts expect that Capri will post 4.9 earnings per share for the current year.
In related news, CEO John D. Idol purchased 363,000 shares of the stock in a transaction on Thursday, August 15th. The shares were purchased at an average cost of $27.48 per share, for a total transaction of $9,975,240.00. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Insiders own 5.30% of the company’s stock.
A number of large investors have recently made changes to their positions in CPRI. Geode Capital Management LLC bought a new stake in Capri in the fourth quarter valued at $89,438,000. Rhumbline Advisers acquired a new position in Capri in the first quarter worth $9,998,000. Comerica Bank acquired a new position in Capri in the first quarter worth $1,435,000. Texas Permanent School Fund acquired a new position in Capri in the first quarter worth $1,358,000. Finally, Crossmark Global Holdings Inc. acquired a new position in Capri in the first quarter worth $404,000. Hedge funds and other institutional investors own 85.80% of the company’s stock.
Capri Holdings Limited design, markets, distributes, and retails branded women's and men's apparel and accessories. It operates in four segments: MK Retail, MK Wholesale, MK Licensing, and Jimmy Choo. The MK Retail segment sells women's apparel; handbags and small leather goods; men's apparel; footwear; and licensed products comprising watches, jewelry, fragrances, and beauty and eyewear.
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