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Is PVH Corp (PVH) Poised to Deliver Earnings Beat in Q2?
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PVH Corporation (PVH - Free Report) is slated to release second-quarter fiscal 2020 results on Sep 2. In the last reported quarter, the company delivered a negative earnings surprise of 67.4%. Moreover, its bottom line lagged estimates by 12.1%, on average, over the trailing four quarters.
The Zacks Consensus Estimate for the company’s fiscal second-quarter loss is pegged at $2.68. In the prior-year quarter, it reported earnings of $2.10 per share. Its estimate for loss has narrowed by 10 cents in the past 30 days. The consensus mark for quarterly revenues is pegged at $1.27 billion, implying a 46.5% decline from the year-ago reported number.
Key Factors to Note
On its last reported quarter’s earnings call, PVH Corp. predicted that the negative impacts of the coronavirus pandemic will continue to get reflected on second-quarter fiscal 2020 results, anticipating more pronounced impacts on the quarter’s revenues on a sequential basis.
Nonetheless, the company has been benefiting from the phased reopening of stores, which is likely to have cushioned the top line in the to-be-reported quarter. It earlier predicted to reopen nearly 85% of its stores globally by mid-June.
Further, PVH Corp has been witnessing an impressive performance in the digital platform as its global store fleet remained closed amid the COVID-19 pandemic. Moreover, a shift in customers’ preference to online purchases has been aiding e-commerce sales. Apart from these, all product launches and collaborations have been redirected to the e-commerce platform. Moreover, management remains confident about the underlying power of the Calvin Klein and Tommy Hilfiger brands, which is likely to have continued to aid the top- and bottom-line performance in the fiscal second quarter.
Zacks Model
Our proven model predicts an earnings beat for PVH Corp. this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
PVH Corp. has an Earnings ESP of +55.22% and a Zacks Rank #3.
Stocks to Consider
Here are some other companies that you may want to consider as our model shows that these have the right combination of elements to post an earnings beat:
lululemon athletica inc. (LULU - Free Report) presently has an Earnings ESP of +15.75% and a Zacks Rank #3.
NIKE, Inc. (NKE - Free Report) currently has an Earnings ESP of +6.24% and a Zacks Rank #3.
5 Stocks Set to Double
Each was hand-picked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2020. Each comes from a different sector and has unique qualities and catalysts that could fuel exceptional growth.
Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.
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Is PVH Corp (PVH) Poised to Deliver Earnings Beat in Q2?
PVH Corporation (PVH - Free Report) is slated to release second-quarter fiscal 2020 results on Sep 2. In the last reported quarter, the company delivered a negative earnings surprise of 67.4%. Moreover, its bottom line lagged estimates by 12.1%, on average, over the trailing four quarters.
The Zacks Consensus Estimate for the company’s fiscal second-quarter loss is pegged at $2.68. In the prior-year quarter, it reported earnings of $2.10 per share. Its estimate for loss has narrowed by 10 cents in the past 30 days. The consensus mark for quarterly revenues is pegged at $1.27 billion, implying a 46.5% decline from the year-ago reported number.
Key Factors to Note
On its last reported quarter’s earnings call, PVH Corp. predicted that the negative impacts of the coronavirus pandemic will continue to get reflected on second-quarter fiscal 2020 results, anticipating more pronounced impacts on the quarter’s revenues on a sequential basis.
Nonetheless, the company has been benefiting from the phased reopening of stores, which is likely to have cushioned the top line in the to-be-reported quarter. It earlier predicted to reopen nearly 85% of its stores globally by mid-June.
PVH Corp. Price and EPS Surprise
PVH Corp. price-eps-surprise | PVH Corp. Quote
Further, PVH Corp has been witnessing an impressive performance in the digital platform as its global store fleet remained closed amid the COVID-19 pandemic. Moreover, a shift in customers’ preference to online purchases has been aiding e-commerce sales. Apart from these, all product launches and collaborations have been redirected to the e-commerce platform. Moreover, management remains confident about the underlying power of the Calvin Klein and Tommy Hilfiger brands, which is likely to have continued to aid the top- and bottom-line performance in the fiscal second quarter.
Zacks Model
Our proven model predicts an earnings beat for PVH Corp. this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
PVH Corp. has an Earnings ESP of +55.22% and a Zacks Rank #3.
Stocks to Consider
Here are some other companies that you may want to consider as our model shows that these have the right combination of elements to post an earnings beat:
Sportsmans Warehouse Holdings, Inc. (SPWH - Free Report) currently has an Earnings ESP of +25.81% and a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.
lululemon athletica inc. (LULU - Free Report) presently has an Earnings ESP of +15.75% and a Zacks Rank #3.
NIKE, Inc. (NKE - Free Report) currently has an Earnings ESP of +6.24% and a Zacks Rank #3.
5 Stocks Set to Double
Each was hand-picked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2020. Each comes from a different sector and has unique qualities and catalysts that could fuel exceptional growth.
Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.
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