Today's Research Reports on Stocks to Watch: Michael Kors and Nike
NEW YORK, NY / ACCESSWIRE / June 1, 2017 / Shares of Michael Kors slid in Wednesday trading after the company announced it would be closing 100 to 125 stores over the next two years. The company's outlook for the current quarter also trails behind Wall Street estimates. Nike is remaining loyal to Tiger Woods after his arrest for driving under the influence but also got a downgrade from the Trefis Team.
RDI Initiates Coverage on:
Michael Kors Holdings Limited
https://ub.rdinvesting.com/news/?ticker=KORS
NIKE, Inc.
https://ub.rdinvesting.com/news/?ticker=NKE
Michael Kors Holdings Limited's shares dropped 8.52% yesterday and even hit a new 52-week low of $32.38. The luxury retail company beat on Q4 results but a dim outlook looking forward as well as store closing depressed the Street. Michael Kors reported that it lost $26.8 million, or 17 cents per share, in the quarter ending March. Earnings per share, adjusted for asset impairment costs, came in at 73 cents which was higher than the 70 cents than the Zacks Consensus had been waiting for. Looking ahead, the company says it is expecting revenue of $910 to $930 million for the quarter ending in July. This lagged behind the $932.2 million that analysts surveyed by Zacks were hoping for. In worse news, the company also plans to close up to 125 stores in the next two years. CEO John D. Idol commented, "Fiscal 2017 was a challenging year, as we continued to operate in a difficult retail environment with elevated promotional levels. In addition, our product and store experience did not sufficiently engage and excite consumers."
Access RDI's Michael Kors Research Report at:
https://ub.rdinvesting.com/news/?ticker=KORS
NIKE, Inc.'s shares closed up a modest 0.17% on Wednesday. The Trefis team has lowered their price target on the athletic apparel and footwear's stock and commented, "We have reduced our price estimate for Nike by around 14% to $51, which is slightly below the current market price. The company is still well-positioned for future growth, but meeting its ambitious targets may be difficult." The team noted that competition from both Under Armour and Adidas play a role in the decrease as well as Nike's lower than expected future orders. Nike has also had a relationship with Tiger Woods for over two decades. Woods was recently arrested in Florida and charged with driving under the influence. The incident was not alcohol related. Nike has stuck by the pro golfer for many years and is sticking with him again. A Nike spokesperson has told media outlets "there is no change to its relationship" with Woods who has been with Nike since 1996.
Access RDI's NIKE Research Report at:
https://ub.rdinvesting.com/news/?ticker=NKE
Our Actionable Research on Michael Kors Holdings Limited (NYSE: KORS) and NIKE, Inc. (NYSE: NKE) can be downloaded free of charge at Research Driven Investing.
Research Driven Investing
We are committed to providing relevant and actionable information for the self-directed investor. Our research is reputed for being a leader in trusted, in-depth analysis vital for informed strategic trading decisions. The nimble investor can leverage our analysis and collective expertise to execute a disciplined approach to stock selection.
RDInvesting has not been compensated; directly or indirectly; for producing or publishing this document.
Disclaimer: This article is written by an independent contributor of RDInvesting.com and reviewed by Nadia Noorani, CFA® charter holder. RDInvesting.com is neither a registered broker dealer nor a registered investment advisor. For more information please read our full disclaimer at www.rdinvesting.com/disclaimer.
CONTACT
For any questions, inquiries, or comments reach out to us directly at:
Address:
Research Driven Investing, Unit #901 511 Avenue of the Americas, New York, NY, 10011
Email:
CFA® and Chartered Financial Analyst® are registered trademarks owned by CFA Institute.
SOURCE: RDInvesting.com
