Earnings, Guidance Have Analysts Running to PVH Stock

PVH also lifted its full-year 2019 forecast despite noting some weakness in its Chinese market

Digital Content Manager
Mar 28, 2019 at 10:06 AM
facebook X logo linkedin


The shares of apparel concern PVH Corp (NYSE:PVH) are soaring -- up 15.2% at $127.72 -- after the company posted fourth-quarter earnings and revenue that beat analysts expectations. PVH said social media influencers, like Kendall Jenner, have helped accelerate sales of its Tommy Hilfiger and Calvin Klein brands among millennials, with the former being its biggest driver. The company also lifted its 2019 full-year forecast. On a more bearish note, PVH executives mentioned pressures on the Chinese consumer market during the conference call.

As a result, analysts are already flocking to the stock. J.P. Morgan Securities just lifted its target price to $139 from $132 and Credit Suisse just raised its own target to $130 from $125. Most analysts were on board before earnings though. Nine analysts following the stock issued a "strong buy" rating, one gave it a "buy," and three doled out a tepid "hold." Now, the consensus 12-month target price of $135.18 represents a level not seen by PVH since October, but sits at a slim 3.6% premium to current levels. 

PVH stock has been coming off its two-year low of $86.46 in late December -- up 19.3% year-to-date at yesterday's close. The security is pacing for its fourth straight win and its best day since 2012. Plus, PVH is now trading atop its 200-day moving average for the first time since August.

Drilling down, it looks like short-term options player have been piling on puts of late. PVH's Schaeffer's put/call open interest ratio (SOIR) of 1.02 sits in the 80th percentile of its annual range, showing the rare setup of put open interest outweighing call open interest among contracts expiring within three months. Elsewhere, short interest appears to be on the rise, up 8.3% in the last reporting period, which could provide additional tailwinds for the stock, if these bearish bets begin to unwind following the positive earnings response.

 

 

 

Target Effortless Triple-Digit Gains Every Sunday Evening For Life!

This is your chance to triple your profit potential on Sunday evenings, without spending all your free time watching the market.

On Sundays, as a Weekend Plus subscriber, you’ll get up to 6 trades every Sunday, each targeting gains of 200% or more.

Start targeting gains like the ones our subscribers have seen recently, including:

213.3% GAIN on AutoNation calls
100.0% GAIN on Monster Beverage calls
100.4% GAIN on Walgreens Boots Alliance puts
100.4% GAIN on ON Semiconductor calls
257.7% GAIN on Dell calls

101.0% GAIN on Apollo Global Management calls
103.6% GAIN on JP Morgan  Chase calls
105.3% GAIN on DraftKings calls
101.3% GAIN on Airbnb calls
203.0% GAIN on Shopify calls
102.0% GAIN on Cboe Global Markets calls
100.9% GAIN on Boeing calls
102.1% GAIN on Microsoft puts
102.3% GAIN on First Solar calls
101.5% GAIN on PulteGroup calls
101.0% GAIN on Apple calls
209.4% GAIN on NXP Semiconductors calls
100.8% GAIN on Uber Technologies calls
100.4% GAIN on Academy Sports and Outdoors puts
102.2% GAIN on Trade Desk calls
100.8% GAIN on DoorDash calls
100.0% GAIN on Camping World Holdings puts
100.0% GAIN on Cboe Global Markets calls
100.2% GAIN on C3.ai calls
238.5% GAIN on Oracle calls

 
 
 


 
 

Rainmaker Ads CGI