Capri (NYSE:CPRI) Shares Gap Down Following Weak Earnings

Capri Holdings Limited (NYSE:CPRI) gapped down prior to trading on Wednesday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $24.03, but opened at $22.44. Capri shares last traded at $21.09, with a volume of 822,867 shares traded.

The company reported $0.45 earnings per share for the quarter, missing analysts’ consensus estimates of $0.72 by ($0.27). Capri had a positive return on equity of 16.54% and a negative net margin of 7.44%. During the same period last year, the business earned $1.20 EPS.

Wall Street Analyst Weigh In

Several equities analysts have recently commented on the company. Barclays reaffirmed an “equal weight” rating and issued a $21.00 target price on shares of Capri in a research report on Wednesday, November 20th. BMO Capital Markets upgraded Capri from a “market perform” rating to an “outperform” rating and increased their price objective for the stock from $25.00 to $31.00 in a research report on Monday, January 6th. Wells Fargo & Company boosted their target price on shares of Capri from $28.00 to $30.00 and gave the company an “overweight” rating in a research report on Monday, January 27th. Guggenheim raised shares of Capri from a “neutral” rating to a “buy” rating and set a $30.00 price target on the stock in a research report on Tuesday, November 26th. Finally, JPMorgan Chase & Co. boosted their price objective on shares of Capri from $15.00 to $19.00 and gave the company a “neutral” rating in a report on Monday, December 16th. One equities research analyst has rated the stock with a sell rating, seven have given a hold rating and four have assigned a buy rating to the company. According to data from MarketBeat.com, Capri has a consensus rating of “Hold” and an average price target of $26.36.

Institutional Investors Weigh In On Capri

Several hedge funds and other institutional investors have recently made changes to their positions in CPRI. Proficio Capital Partners LLC acquired a new stake in shares of Capri during the fourth quarter valued at about $344,000. Y Intercept Hong Kong Ltd acquired a new stake in Capri during the 4th quarter worth approximately $574,000. State of New Jersey Common Pension Fund D grew its holdings in Capri by 86.8% during the 4th quarter. State of New Jersey Common Pension Fund D now owns 104,696 shares of the company’s stock worth $2,205,000 after acquiring an additional 48,647 shares during the last quarter. L.M. Kohn & Company acquired a new position in Capri in the 4th quarter valued at approximately $234,000. Finally, Hourglass Capital LLC bought a new position in shares of Capri during the fourth quarter valued at $2,034,000. 84.34% of the stock is owned by institutional investors.

Capri Trading Down 10.2 %

The company has a debt-to-equity ratio of 0.83, a current ratio of 0.93 and a quick ratio of 0.38. The company has a market cap of $2.54 billion, a price-to-earnings ratio of -7.05, a price-to-earnings-growth ratio of 5.76 and a beta of 2.06. The business’s fifty day moving average price is $22.68 and its 200 day moving average price is $29.33.

About Capri

Capri Holdings Limited designs, markets, distributes, and retails branded women's and men's apparel, footwear, and accessories in the United States, Canada, Latin America, Europe, the Middle East, Africa, and Asia. It operates through three segments: Versace, Jimmy Choo, and Michael Kors. The company offers ready-to-wear, accessories, footwear, handbags, scarves and belts, small leather goods, eyewear, watches, jewelry, fragrances, and home furnishings through a distribution network, including boutiques, department, and specialty stores, as well as through e-commerce sites.