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.
KORS is a growth stock. You only buy it for its growth, not the value. You may think COH is a good value today? But, it is likely to be a much better value six months from now. The trend is your friend...
I have never used that metric when assessing a growth stock...earnings and growth rate are a better barometer....
2.3 million Instagram followers is dwarfed by 14 million Facebook friends. KORS is making a high rate of conversions from social media...
The low of $87.70 undercuts the low posted last week ($87.95). Will KORS trade below the low today?
It looks like it may trade down to its 10 week line ($86) or even fill the gap at $83.06? Typically, when it trades below the 10 week line it is a buying opportunity.
There has been some distribution in KORS recently. On May 29 the stock traded down $4.73 with 8 million shares exchanged. On June 16 the stock dropped $3.61 with 5.5 million shares traded, and on June 19 it sank $1.46 with 4.5 million shares exchanged. That is quite a bit of selling pressure on this stock, and the pull back has come on above average volume. It is not a fire sale but some distribution.
LeBron James made $30 million on the Beats deal. He did not own any of the company.
But, he made a deal with Dr. Dre that he would endorse the Beats product for a fee.
Lebron James is a pretty smart guy. So is Dr. Dre... by the way...he is not a real doctor (M.D.)!
For me, it is all about the institutions, and not the analysts...
Sometimes stocks just have to correct. Look at CELG and GILD from February to April. Those two had stellar reports and still sold off.
Some institutions have owned KORS since the $40's and it has become a two bagger and a larger part of their portfolio. It is wise to trim some at that point and look around for other opportunities. So they sell! Not a big deal. Many stocks make their big run after their greatest earnings growth period has concluded. KORS will no longer grow at triple digits. In fact, they will "slow" to 20-30% in the future. The stock could still have a huge run at that growth rate.
The short interest has picked up recently, and I would imagine it will continue to increase as shorts become emboldened with the stocks weakness. KORS business is good, and they are taking share.
Why does Under Armour get a multiple of 75 when KORS is at 27? KORS is growing twice as fast as UA.
Strange stuff indeed...