Michael Kors outperforms S&P 500 in 32 percentTuesday, 25 September 2012
Earlier this week, Michael Kors (KORS) rose 9.3 percent to 57.35 dollars after the luxury brand increased its Q2 and full-year outlook. Backing the company’s successful trading, Wedbush has just lifted its target price to 65 dollars from 62.
The stock has also outperformed the broader S&P 500 Index (SPX) by nearly 32 percentage points during the past 40 sessions. Consequently, the label remains optimist and better its guidance profit guidance of 38-40 cents per share compared to its prior 33-35 cents, its determined to surpass analysts’ consensus profit per share of 36 cents.
For the year, the clothing maker and retailer sees EPS of 1.39-1.41 dollars versus an earlier outlook for 1.32 to 1.34 dollars. Meanwhile, market expects 1.38 dollars.
Michael Kors has been one of the more successful recent IPOs. Since its debut in December, the stock has more than doubled from its IPO price of 20 dollars. Canadian Lawrence Stroll and his Hong Kong business partner Silas Chou acquired Michael Kors in 2003 and took it public in December 2011. Company’s current market cap is 8.6 billion dollars.