The hiring of Mr. Lafay for Asia, and Mr. Brashear for menswear is great for expansion.
But, the expansion will be costly. KORS is looking at $1 billion annually in Europe, and $1 billion in menswear. They cannot ignore those revenue streams and will pursue those aggressively.
The CEO says, "America is in a retail funk!"
Stay away from TCS....winners and losers folks! They are easy to spot in retail.
Winners; UA, TIF, KORS
Losers ; COH, TCS, URBN, BBBY
Any long term investor will hold on this news. CELG is likely to trade down to its 10 week line, and should find support there. I suspect it may trade down to the $78-$80 area in the coming weeks.
If you are a trader; it may be wise to sell, and seek a "fast trade?"
Michael Kors (KORS), a global luxury lifestyle brand, is pleased to announce that Mark Brashear has been named to the newly created role of President of Men’s. He will report to John D. Idol, the company’s Chairman and Chief Executive Officer.
Mr. Brashear’s appointment, effective July 7, 2014, is a key element in the brand’s strategic development of its men’s business. “The men’s world represents a significant opportunity for us, and we’ve been putting the pieces in place to grow that business,” says Mr. Idol. “Mark’s appointment is a big step forward because he brings with him a wealth of skills and experience in men’s brand-building."
Menswear from Michael Kors will be on sale in one of its own stores outside the US for the very first time this autumn.
The luxury brand has signed on a 15,000 sq ft flagship on London’s Regent Street.
The space is the firm’s largest in Europe to date, pushing bosses to include the men’s line, currently only available at the SoHo flagship in New York.
Michael Kors menswear includes clothing, accessories, fragrances and watches. Average prices range between $75 (£44) for T-shirts to $598 (£348) for bags.
It will join other recent openings including Italian accessories label Piquadro, travel brand Tumi and Wellington boot firm Hunter.
Chief executive John D Idol described the central London road as a “vibrant and exciting” shopping destination, adding it’s the perfect place to “present our men’s retail concept to Europe.”
It comes as part of a £1bn regeneration of the area, overseen by The Crown Estate’s W5 development.
The new outlet is three times the size of the current Michael Kors, just minutes down the road.
It has not yet been confirmed whether the diffusion shop will continue to offer discounted products with the larger location in operation.
Michael Kors will welcome menswear, along with womenswear and accessories, to 169-183 Regent Street in the coming months.
Does anyone find it strange that John Idol met with Erinn Murphy as Q1 2015 concludes? Doy ou think it was as simple as Erinn picking up the phone, and asking for more information for KORS management? Or. was it John Idol reaching out to on elf the more knowledgable analyst to get the information out that KORS is still taking market share?
John Idol stated at the DB conference in Paris earlier in the month that he felt he did " a terrible job" of explaining margin issue during the May conference call. He stated "I will do a much better job on the next call." Perhaps, he just wanted to get the word out that Michael Kors business has not changes and they will continue to deliver 20% + same store comps. One little note that Erinn revealed was she felt the "beat and raise cadence is still intact."
John Idol does not like doing the "dog & pony" shows wit the financial analysts. For him to meet with an analyst at the end of a quarter tells me that we are looking at an exceptionally strong quarter. Piper Jaffray will be raising their price targets after the August conference call which is about four weeks away.
I have been leery since the Jim Cramer/Herb Greenberg tag team "jaw-boned" this stock down recently. These guys know way too many people at hedge funds who will make money on both sides of the movement. There is definitely an agenda here.
Erinn Murphy met with management yesterday, and came away impressed. All my indicators tell me that it is business as usual at KORS and they will deliver another beat and raise quarter with same store sales comps over 20%!
The stock is completely disconnected from the business at Michael Kors.
I actually posted a note from Brian Tunick at JP Morgan who posted some positive things about KORS this morning. The title was "Billion Dollar Push" and he thought KORS would generate a billion dollars per year in Europe beginning in 2016.
It is becoming increasingly difficult to wade through the morass that is the Yahoo Message Board...
KORS is trading the same way it always has, and it always confounds the technical folks....
Atlanta is the hub for Delta Airlines, and is extremely busy. But, then again, so is Chicago, New York, Los Angeles, Paris, Rome...KORS will be in 50 airports before long....
Frustration is an emotion, and it is not wise to buy/sell a stock based on emotion.
KORS is a well-run company with a management team second to none in retail. KATE missed estimates by 50% last quarter. No thanks....
KORS hires a former Tiffany executive to oversee Asia operations. It sure seems like they are going after Coach in this region. We will see if KORS can replicate their market share adoption we saw in North America?
This stock marches to the beat of its own drum. There is nothing logical about the way it trades. If you like to watch the movement of a stock every day, then I suggest you buy TSLA.
If you take a look at a weekly chart of KORS it tells you one thing; if you just hold on to your stock, then you will make money. I have a longer term view, and bought at much lower levels (I did add 200 shares at $92). Just about every time I bough KORS the stock went down a few bucks. But, I never sold!
KORS earned $1.97 in 2013 and $3.22 in 2014! I suspect they will earn anywhere from $4.50 to $5 in 2015, and the stock will reflect the growth and earnings eventually.
Temporarily, I am cautious on KORS. It makes me nervous when talking heads like Herb Greenberg and Jim Cramer opine on a stock. I believe they are tied to hedge funds who try to move a stock one way or another. But, that is just temporary.
KORS business is fine, and this quarter will be another beat and raise quarter. They need to raise guidance over $4 this quarter. I believe John Idol will be ready for this conference call, and be a little more aggressive in discussing the business at Michael Kors. He is an excellent CEO who has been executing flawlessly. It is time for him to start bragging/promoting a little bit more.