Michael Kors (KORS) Stock Rating Upgraded by Zacks Investment Research
Zacks Investment Research upgraded shares of Michael Kors (NYSE:KORS) from a hold rating to a buy rating in a report released on Tuesday morning. Zacks Investment Research currently has $76.00 target price on the lifestyle brand’s stock.
According to Zacks, “Michael Kors has been constantly deploying resources to expand product offerings, opening new stores, building shop-in-shops and upgrading e-commerce platform. These endeavors along with the positive earnings streak for the 11th straight quarter and an upbeat fiscal 2018 outlook on the back of sturdy third-quarter results, aided the stock to outpace the industry in a year. Apart from these, the company’s Runway 2020 strategic plan and efforts to grab the $1 billion opportunity in Asia through expansion drive. Meanwhile, Michael Kors’ acquisition of Jimmy Choo will help diversify portfolio and tap international markets. However, stiff competition, falling comps, aggressive promotional environment and waning mall traffic still remain concerns. Further, the company’s Wholesale segment reported dismal results in the reported quarter. The company anticipates the segment to steady in the second half of next year.”
Other research analysts have also recently issued research reports about the company. Robert W. Baird reiterated a hold rating on shares of Michael Kors in a research report on Monday, February 5th. Barclays set a $75.00 price objective on Michael Kors and gave the stock an equal weight rating in a research report on Thursday, February 8th. Bank of America raised their price target on Michael Kors from $58.00 to $69.00 and gave the stock a neutral rating in a research report on Thursday, February 8th. Cowen set a $71.00 price target on Michael Kors and gave the stock a hold rating in a research report on Wednesday, February 7th. Finally, Piper Jaffray restated a hold rating and issued a $72.00 price target on shares of Michael Kors in a research report on Monday, February 5th. One equities research analyst has rated the stock with a sell rating, fifteen have assigned a hold rating and fifteen have assigned a buy rating to the stock. Michael Kors has a consensus rating of Hold and an average target price of $66.07.
Michael Kors (NYSE:KORS) last posted its quarterly earnings data on Wednesday, February 7th. The lifestyle brand reported $1.77 earnings per share for the quarter, topping the consensus estimate of $1.29 by $0.48. The firm had revenue of $1.44 billion for the quarter, compared to analysts’ expectations of $1.38 billion. Michael Kors had a return on equity of 40.86% and a net margin of 11.32%. The company’s quarterly revenue was up 6.4% compared to the same quarter last year. During the same quarter last year, the business earned $1.64 EPS. equities analysts expect that Michael Kors will post 4.49 EPS for the current fiscal year.
In other news, insider Michael David Kors sold 246,590 shares of Michael Kors stock in a transaction dated Friday, March 2nd. The stock was sold at an average price of $61.30, for a total transaction of $15,115,967.00. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CEO John D. Idol sold 150,000 shares of Michael Kors stock in a transaction dated Wednesday, April 18th. The shares were sold at an average price of $66.23, for a total value of $9,934,500.00. Following the sale, the chief executive officer now directly owns 1,774,643 shares in the company, valued at $117,534,605.89. The disclosure for this sale can be found here. In the last quarter, insiders sold 707,090 shares of company stock worth $44,481,782. Company insiders own 6.00% of the company’s stock.
Hedge funds have recently made changes to their positions in the company. Dupont Capital Management Corp boosted its stake in shares of Michael Kors by 8.7% during the fourth quarter. Dupont Capital Management Corp now owns 124,314 shares of the lifestyle brand’s stock valued at $7,826,000 after purchasing an additional 9,968 shares in the last quarter. Suntrust Banks Inc. acquired a new position in shares of Michael Kors in the fourth quarter worth approximately $295,000. Municipal Employees Retirement System of Michigan lifted its stake in shares of Michael Kors by 102.6% in the fourth quarter. Municipal Employees Retirement System of Michigan now owns 7,940 shares of the lifestyle brand’s stock worth $500,000 after acquiring an additional 4,020 shares during the period. Dimensional Fund Advisors LP lifted its stake in shares of Michael Kors by 29.8% in the third quarter. Dimensional Fund Advisors LP now owns 1,210,424 shares of the lifestyle brand’s stock worth $57,918,000 after acquiring an additional 277,810 shares during the period. Finally, Ladenburg Thalmann Financial Services Inc. lifted its stake in shares of Michael Kors by 1,067.3% in the fourth quarter. Ladenburg Thalmann Financial Services Inc. now owns 14,977 shares of the lifestyle brand’s stock worth $943,000 after acquiring an additional 13,694 shares during the period. 85.21% of the stock is currently owned by hedge funds and other institutional investors.
About Michael Kors
Michael Kors Holdings Limited design, markets, distributes, and retails branded women's apparel and accessories, and men's apparel. The company operates in three segments: Retail, Wholesale, and Licensing. The Retail segment is involved in the sale of women's apparel; men's apparel; accessories, which include handbags and small leather goods, such as wallets; footwear; and licensed products comprising watches, jewelry, fragrances, beauty products, and eyewear.
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