Nomura Securities Maintains a 'Buy' on Michael Kors (KORS); Q3 Preview
KORS Hot Sheet
Rating Summary:7 Buy, 0 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 20 | Down: 11 | New: 38
Nomura Securities maintains a 'Buy' on Michael Kors (NYSE: KORS) price target of $34.00.
Analyst, Paul Lejuez, said, "We believe KORS will handily beat 3Q consensus, but also guide conservatively for 4Q. If the market is looking for an excuse to buy stocks, KORS’ 3Q EPS should not disappoint, and the market will look through the guidance. However, if the market is looking for a reason to take profits that day, with the stock +70% since its IPO, conservative guidance may be the excuse. Though the stock’s reaction to earnings depends on the market mood next week, KORS is still a stock to own for the long term. We expect EPS of $0.13, which assumes comps of 29-31%, total sales of 57-59% and EBIT margin down 460bps (to 15.6%). Consensus is $0.10. There could be significant upside to our estimates. We believe that the KORS growth story is among the best in retail."
For an analyst ratings summary and ratings history on Michael Kors click here. For more ratings news on Michael Kors click here.
Shares of Michael Kors closed at $33.97 yesterday, with a 52 week range of $23.51-$34.24.
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Analyst, Paul Lejuez, said, "We believe KORS will handily beat 3Q consensus, but also guide conservatively for 4Q. If the market is looking for an excuse to buy stocks, KORS’ 3Q EPS should not disappoint, and the market will look through the guidance. However, if the market is looking for a reason to take profits that day, with the stock +70% since its IPO, conservative guidance may be the excuse. Though the stock’s reaction to earnings depends on the market mood next week, KORS is still a stock to own for the long term. We expect EPS of $0.13, which assumes comps of 29-31%, total sales of 57-59% and EBIT margin down 460bps (to 15.6%). Consensus is $0.10. There could be significant upside to our estimates. We believe that the KORS growth story is among the best in retail."
For an analyst ratings summary and ratings history on Michael Kors click here. For more ratings news on Michael Kors click here.
Shares of Michael Kors closed at $33.97 yesterday, with a 52 week range of $23.51-$34.24.
Discover Wall Street's best ratings calls with the pros - Ratings Insider Elite. Free Trial!
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