COH's best days are behind them, & now that they have changed their buisness model to that of a proven winner, KORS ,their margins will fall big time. Heavy discounting a double edge sword as this too cuts into margins but then many don't buy because it's too cheap & not considered 'luxury'.
Previous quarter Burberry tried to reach more of the middle class shoppers & the upper tier didn't buy & they had a bad quarter. This quarter they returned to the high end customer & buisness improved much to the delight of KORS as they are not in direct competition with Burberry so expect European comps which were the highest last quarter at over 50% to continue.
The price does not reflect whats really going on with this company.