Back to top

Analyst Blog

Zacks Equity Research

PVH Lowers Rev Forecast, Retains Profit View

PVH LB FDO AEO

 ZacksTrade Now

This page is temporarily not available.  Please check later as it should be available shortly. If you have any questions, please email customer support at support@zacks.com or call 800-767-3771 ext.  9339.

Prior to the presentation at the ICR XChange Conference to be held on Jan 13, PVH Corp. (PVH - Snapshot Report) reaffirmed its earnings per share (EPS) guidance for the fourth quarter and fiscal 2013 but lowered the sales outlook for both the periods.

The company has reiterated its non-GAAP earnings guidance of $1.40 and $7.00 per share for the fourth quarter and fiscal 2013, respectively that was announced at its third-quarter earnings release. Currently, the Zacks Consensus Estimate for both the periods is pegged at $1.45 and $7.04 per share, respectively, above the company’s forecast.

However, the company has lowered its previous non-GAAP sales guidance of $2.08 billion for the fourth quarter and $8.24 billion for fiscal 2013 to $2.06 billion and $8.22 billion, respectively. At present, the Zacks Consensus Estimate for both the periods is pegged at $2,080 million and $8,244 million.

Most retailers reported lackluster results for the holiday shopping period in 2013, followed by lowered forecasts, as retailers suffered from reduced traffic, an intensified promotional environment, lesser shopping days between Thanksgiving and Christmas, numerous icy storms and sluggish consumer spending. Retailers that lowered their guidance battered by the holiday results include Family Dollar Stores Inc. (FDO - Analyst Report), American Eagle Outfitters Inc. (AEO - Analyst Report) and L Brands Inc. (LB - Analyst Report).

In early Dec 2013, PVH Corp. posted better-than-expected third-quarter results. The company's third-quarter fiscal 2013 adjusted earnings of $2.30 per share beat its own guidance of $2.25 and the Zacks Consensus Estimate of $2.26. In the quarter, PVH Corp.’s total revenue rose 37.5% year over year to $2,259.1 million and surpassed the Zacks Consensus Estimate of $2,222.0 million.

PVH Corp. is now focused on brand building, asset management, global expansion and effective implementation of business strategies to drive long-term growth. We believe that the company is moving in the right direction, which will help it to exploit opportunities in the lifestyle apparel market. However, lingering macroeconomic factors could dampen its growth in the near term.

Currently, PVH Corp. carries Zacks Rank #3 (Hold).

Please login to Zacks.com or register to post a comment.

New to Zacks?

Start Here

Zacks Investment Research

Close

Are you a new Zacks Member or a visitor to Zacks.com?

Top Zacks Features

Learn more

Start for as little as $4.50 per trade.

My Portfolio Tracker

Is it Time to Sell?

One of the most important steps you can take today is to set up your portfolio tracker on Zacks.com. Once you do, you'll be notified of major events affecting your stocks and/or funds with daily email alerts.

More Zacks Resources

Zacks Rank Home - Evaluate your stocks and use the Zacks Rank to eliminate the losers and keep the winners.

Mutual Fund Rank Home - Evaluate your funds with the Mutual Fund Rank for both your personal and retirement funds.

Stock/Mutual Fund Screening - Find better stocks and mutual funds. The ones most likely to beat the market and provide a positive return.

My Portfolio - Track your Portfolio and find out where your stocks/mutual funds stack up with the Zacks Rank.

Zacks #1 Rank Top Movers for Zacks #1 Rank Top Movers

Company Symbol Price %Chg
LAKE SHORE G LSG 0.77 +6.05%
QUESTCOR PHA QCOR 80.07 +2.47%
VIPSHOP HOLD VIPS 156.35 +1.82%
ENLINK MIDST ENLC 36.29 +1.60%
BNC BANCORP BNCN 17.33 +1.58%