UPDATE: Nomura Raises PT to $58 on Michael Kors Holdings Following Strong FQ2
Nomura reiterated its Buy rating on Michael Kors Holdings (NYSE: KORS) and raised its price target from $54 to $58.
Nomura said, "FQ2 was another very strong quarter, w/ sales/EPS well above guidance. For FQ3, mgmt guided to mid-20s comp increase and EPS slightly below consensus, but we expect KOR to exceed guidance. Our F13E EPS goes from $1.51 to $1.61, F14E from $1.87 to $2.00. KORS has best momentum in our retail coverage. PT raised to $58, representing 29.1x our F14E EPS and 18.3x our F14E EBITDA, roughly equal to LULU multiples, although we expect KORS to grow sales/EPS at faster rate."
Michael Kors Holdings closed at $51.01 on Tuesday.
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