UPDATE: Piper Jaffray Raises PT to $109 on Fossil Following Results, Licensing Agreement

Piper Jaffray maintained Fossil

with a Neutral rating and raised the price target from $87.00 to $109.00. Piper Jaffray commented, "We are reiterat$109ing our Neutral rating on FOSL shares following the company's FQ4 report in which EPS of $2.51 exceeded our estimate of $2.26, with about $0.15 of the beat being attributable to a lower than expected tax rate. … Importantly, FOSL announced a new global licensing agreement with Tory Burch, with watches slated for distribution in late 2014. … We are raising our price target from $87 to $109, which is based on 18x FY13E EPS, versus our prior target multiple of 15x. We believe the higher multiple is appropriate in view of stabilizing same-store sales and the currently un-modeled opportunity stemming from today's Tory Burch announcement." Fossil closed at $107.46 on Monday.