Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
Settings
Settings
Dynamic quotes 
OFFON

MarketScreener Homepage  >  Equities  >  Nyse  >  Michael Kors Holdings    KORS   VGG607541015

MICHAEL KORS HOLDINGS (KORS)
My previous session
Most popular
  Report  
Delayed Quote. Delayed  - 08/15 10:02:04 pm
71.32 USD   -2.69%
08/09MICHAEL KORS : Announces First Quarter Fiscal 2019 Results
AQ
08/09L'Oreal adds to Facebook sales push with virtual make-up tests
RE
08/08S&P 500 MOVERS : Myl, kors
AQ
SummaryQuotesChartsNewsAnalysisCalendarCompanyFinancialsConsensusRevisions 
News SummaryMost relevantAll newsofficial PublicationsSector newsTweets

Michael Kors : says higher spending on Jimmy Choo will hit earnings

share with twitter share with LinkedIn share with facebook
share via e-mail
0
05/30/2018 | 06:49pm CEST
A Michael Kors Holdings Limited retail store is shown in La Jolla

(Reuters) - Michael Kors Holdings Ltd said higher spending to expand its upscale footwear brand Jimmy Choo will weigh on earnings this year, driving shares of the luxury handbag maker down 13 percent on Wednesday.

Kors' shares have soared some 90 percent over the past year as the company has steadily boosted profit margins by scrapping discounts on its pricey Mercer and Hamilton handbags. But Jimmy Choo, which New York-based Kors bought last year for $1.2 billion (903 million pounds), has seen its popularity wane among younger consumers.

The footwear brand, whose designer stilettos found fame in the 1990s thanks partly to "Sex and the City" character Carrie Bradshaw, is today associated more with rich older women than millennials.

Kors plans to open some 30 new Jimmy Choo stores in the year ending March 2019, it said on Wednesday, adding that it had already signed supermodels Lily Aldridge and Rosie Huntington-Whiteley for the brand's fall marketing campaigns.

"(Jimmy Choo) has some brand equity to it but there's some repair work that needs to be done," said BlueFin Research analyst Rebecca Duval.

Kors' yearly earnings forecast, which fell largely below Wall Street expectations, partly reflected efforts to turn around the brand, Duval added.

Footwear as a category also weighed on Kors rival Tapestry Inc latest quarterly results, as its upmarket Stuart Weitzmann brand reported disappointing sales after struggling to sell older products.

Kors expects fiscal 2019 earnings of $4.65 to $4.75 per share, reflecting what it said was a 5- to 10-cent hit from investments in Jimmy Choo. Analysts were expecting earnings of $4.74 per share, according to Thomson Reuters I/B/E/S.

The forecast took the shine off Kors' stronger-than-expected quarterly results which were boosted by selling more handbags and dresses at full price. The company also reported a surprise rise in same-store sales, marking the first increase in two years.

Still, Kors' forecast was "uninspiring," given the strengthening handbag market, stable prices at department stores and higher foreign tourism to the United States, RBC Capital Markets analyst Brian Tunick said.

Kors' shares plunged 12.5 percent to $59.67 on Wednesday afternoon and were on track for their worst one-day dip in three years.

Net income attributable to Kors was $44.1 million in the fourth quarter ended March 31, compared with a net loss of $26.8 million a year earlier.

Excluding one-time items, the company earned 63 cents per share, topping analysts' estimates of 60 cents.

Revenue rose to $1.18 billion, exceeding analysts' estimate of $1.15 billion.

(Reporting by Uday Sampath in Bengaluru; Editing by Sai Sachin Ravikumar)

By Uday Sampath Kumar

Stocks mentioned in the article
ChangeLast1st jan.
MICHAEL KORS HOLDINGS -2.69% 71.32 Delayed Quote.16.43%
TAPESTRY INC -2.05% 52.07 Delayed Quote.20.19%
share with twitter share with LinkedIn share with facebook
share via e-mail
0
Latest news on MICHAEL KORS HOLDINGS
08/09MICHAEL KORS : Announces First Quarter Fiscal 2019 Results
AQ
08/09TODAY’S RESEARCH REPORTS ON STOCKS T : Papa John’s and Michael Kors
AC
08/09L'Oreal adds to Facebook sales push with virtual make-up tests
RE
08/08S&P 500 MOVERS : Myl, kors
AQ
08/08MICHAEL KORS HOLDINGS LTD : Results of Operations and Financial Condition, Finan..
AQ
08/08MICHAEL KORS HOLDINGS LIMITED : Announces First Quarter Fiscal 2019 Results
BU
08/03MICHAEL KORS HOLDINGS LTD : Submission of Matters to a Vote of Security Holders ..
AQ
08/01MICHAEL KORS HOLDINGS : SEC Filing 8K
CO
08/01MICHAEL KORS HOLDINGS : Report
CO
07/26MICHAEL KORS : coming soon to The Outlets at Sands Bethlehem
AQ
More news
News from SeekingAlpha
08/15Maverick Capital updates on Q2 hedge fund moves 
08/13MICHAEL KORS HOLDINGS : Buy This Leader In Luxury Retail 
08/13New stakes by Citadel Advisors 
08/10The Dead Stocks Are Coming Back - Cramer's Mad Money (8/9/18) 
08/09A New Round Of U.S.-Japan Trade Talks (Wall Street Breakfast Podcast) 
Financials ($)
Sales 2019 5 132 M
EBIT 2019 930 M
Net income 2019 738 M
Debt 2019 338 M
Yield 2019 -
P/E ratio 2019 15,16
P/E ratio 2020 13,86
EV / Sales 2019 2,14x
EV / Sales 2020 1,91x
Capitalization 10 663 M
Chart MICHAEL KORS HOLDINGS
Duration : Period :
Michael Kors Holdings Technical Analysis Chart | MarketScreener
Full-screen chart
Technical analysis trends MICHAEL KORS HOLDINGS
Short TermMid-TermLong Term
TrendsBullishBullishBullish
Income Statement Evolution
Consensus
Sell
Buy
Mean consensus OUTPERFORM
Number of Analysts 28
Average target price 77,2 $
Spread / Average Target 5,4%
EPS Revisions
Managers
NameTitle
John D. Idol Chairman & Chief Executive Officer
Cathy Marie Robinson Co-COO & Senior Vice President-Corporate Strategy
Thomas J. Edwards Co-COO, CFO, Treasurer & Executive VP
Michael David Kors Director & Chief Creative Officer
M. William Benedetto Lead Independent Director
Sector and Competitors
1st jan.Capitalization (M$)
MICHAEL KORS HOLDINGS16.43%10 663
INDITEX - INDUSTRIA DE DISEÑO TEXTIL-4.94%98 359
KERING18.12%66 703
FAST RETAILING CO LTD5.84%46 186
ROSS STORES13.41%34 269
ZALANDO1.55%12 633