PVH Corporation Q4 Earnings Preview: Key Points to Watch
PVH, a well-known fashion conglomerate, is set to release its earnings report after the stock market closes tomorrow. The company performed impressively last quarter, beating revenue expectations by 1.5% with reported revenues of $2.26 billion, representing a 4.6% decrease compared to the previous year. Notably, PVH also surpassed financial estimates for adjusted operating income in the last quarter, signifying a robust performance.
As analysts project, PVH’s revenue in the upcoming quarter is anticipated to decline by 6.2% year on year to approximately $2.34 billion. This expected downturn marks a slowing of revenue growth compared to the same period in the previous year. The company is also projected to achieve adjusted earnings of $3.21 per share in the current period.
Throughout the last month, analysts covering PVH have reaffirmed their estimates, indicating their belief in the company’s ability to maintain its current trajectory leading up to the earnings announcement. However, PVH has fallen short of Wall Street’s revenue expectations on three occasions in the past two years, suggesting potential uncertainty around the upcoming performance.
By examining PVH’s competitors in the apparel and accessories sector, it is possible to gain insights into the potential outcomes for PVH’s results. For instance, Stitch Fix observed a 5.5% year-on-year drop in revenues, surpassing analysts’ projections by 4.4%, whereas ThredUp experienced a revenue increase of 9.5%, failing to meet estimates by 2.4%. These results had varying effects on the companies’ stock prices post-announcement, with Stitch Fix trading down by 5.2% and ThredUp trading up by 6.7%.
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