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Canada Goose Holdings Inc. (GOOS) Soars to 52-Week High, Time to Cash Out?

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Shares of Canada Goose (GOOS - Free Report) have been strong performers lately, with the stock up 17.5% over the past month. The stock hit a new 52-week high of $13.69 in the previous session. Canada Goose has gained 34.2% since the start of the year compared to the 4.5% gain for the Zacks Retail-Wholesale sector and the -10.4% return for the Zacks Retail - Apparel and Shoes industry.

What's Driving the Outperformance?

The stock has a great record of positive earnings surprises, having beaten the Zacks Consensus Estimate in each of the last four quarters. In its last earnings report on May 21, 2025, Canada Goose reported EPS of $0.23 versus consensus estimate of $0.16 while it beat the consensus revenue estimate by 1.92%.

For the current fiscal year, Canada Goose is expected to post earnings of $0.88 per share on $1 in revenues. This represents a 10% change in EPS on a 2.89% change in revenues. For the next fiscal year, the company is expected to earn $1.04 per share on $1.04 in revenues. This represents a year-over-year change of 18.75% and 4.14%, respectively.

Valuation Metrics

While Canada Goose has moved to its 52-week high in the recent past, investors need to be asking, what is next for the company? A key aspect of this question is taking a look at valuation metrics in order to determine if the company has run ahead of itself.

On this front, we can look at the Zacks Style Scores, as they provide investors with an additional way to sort through stocks (beyond looking at the Zacks Rank of a security). The individual style scores for Value, Growth, Momentum and the combined VGM Score run from A through F. The idea behind the style scores is to help investors pick the most appropriate Zacks Rank stocks based on their individual investment style.

Canada Goose has a Value Score of A. The stock's Growth and Momentum Scores are A and D, respectively, giving the company a VGM Score of A.

In terms of its value breakdown, the stock currently trades at 15.4X current fiscal year EPS estimates, which is not in-line with the peer industry average of 18X. On a trailing cash flow basis, the stock currently trades at 7.8X versus its peer group's average of 7.5X. Additionally, the stock has a PEG ratio of 0.85. This is good enough to put the company in the top echelon of all stocks we cover from a value perspective, making Canada Goose an interesting choice for value investors.

Zacks Rank

We also need to look at the Zacks Rank for the stock, as this is even more important than the company's VGM Score. Fortunately, Canada Goose currently has a Zacks Rank of #1 (Strong Buy) thanks to rising earnings estimates.

Since we recommend that investors select stocks carrying Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, it looks as if Canada Goose passes the test. Thus, it seems as though Canada Goose shares could have a bit more room to run in the near term.

How Does GOOS Stack Up to the Competition?

Shares of GOOS have been soaring, and the company still appears to be a decent choice, but what about the rest of the industry? One industry peer that looks good is Urban Outfitters, Inc. (URBN - Free Report) . URBN has a Zacks Rank of #1 (Strong Buy) and a Value Score of B, a Growth Score of C, and a Momentum Score of B.

Earnings were strong last quarter. Urban Outfitters, Inc. beat our consensus estimate by 43.21%, and for the current fiscal year, URBN is expected to post earnings of $4.96 per share on revenue of $6.02 billion.

Shares of Urban Outfitters, Inc. have gained 4.8% over the past month, and currently trade at a forward P/E of 14.62X and a P/CF of 13.39X.

The Retail - Apparel and Shoes industry may rank in the bottom 84% of all the industries we have in our universe, but there still looks like there are some nice tailwinds for GOOS and URBN, even beyond their own solid fundamental situation.


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