Canada Goose stock drops on outlook cut, slowing sales
Yahoo Finance Live anchors discuss the decline in stock for Canada Goose.
- The Goose is loose. Canada Goose is sinking today after the apparel mayor-- apparel maker slashed-- it might be the apparel mayor, I don't know. It slashed its outlook--
- Come on.
- --spurred by slower sales, leading to higher inventories, which rose about 30%. I mean, it's interesting here. I do have to wonder.
There are a couple of different things here going on, right? You had obviously China sales that were still weak during the last quarter before you saw reopening. You always have to wonder if weather is a factor, right? It has not been, up until now, that cold of a winter in the United States. So is that having an effect? You do see some other sort of high end apparel and retail companies that have held up well.
- So it's not that the high end consumer is sort of deteriorating here necessarily.
- I mean, the prices that they charge, it's no surprise that their gross margins kind of stay in, in this locked-in range of about 72%. I mean, my goodness. Anybody who's ever purchased any of their products. You say that much for a vest? Wink wink, Soz?
- Hey, the jacket kept me warm in Davos, but I will say this. The stock does not like historically when inventories are rising ahead of sales. You will see the stock likely under pressure for a good bit.
- Oh, right at the buzzer. Well played there, Soz.
- It's like I've done this before, right?
- All right, that does it for us.