Market Overview

UPDATE: Brean Capital Initiates Movado Group at Buy on Positive Outlook

Share:
Related MOV
Gene Munster: The Apple Watch Is A Game Changer
KeyBanc: Apple Watch Has 'Strong' Initial Demand, Poses Risk To Fashion Watches

In a report published Friday, Brean Capital analyst Eric Beder initiated coverage on Movado Group (NYSE: MOV) with a Buy rating and $44.00 price target.

In the report, Brean Capital noted, “We are initiating coverage of Movado Group, Inc. (‘Movado') with a Buy rating and $44 price target, or 19.0x our FY15 EPS projection of $2.32 (or 16.6x, adjusted for net cash per share of $5.47 at the end of 1QFY14) and 10.1x EV/FY15 EBITDA. We believe the company, with the rollout of the Ferrari line of watches, the revamping of its Coach licensee, and material fashion newness and excitement in its namesake line, is poised to buck the weakening trend in watches and to register solid double-digit, bottom-line expansion in FY14 and FY15, as well as achieve its FY17 stated goal of over $3.00 in EPS. With a valuation more attractive, in our view, than market-leader Fossil, we believe Movado has been an undiscovered growth story with a compelling lineup of catalysts. As the company drives upside, especially in what we view as a growth-starved market, we believe MOV will trade at a valuation more reflective of its strong, double-digit, top- and bottom-line growth prospects; we are buyers of MOV.”

Movado Group closed on Thursday at $36.58.

Latest Ratings for MOV

DateFirmActionFromTo
Dec 2014Cowen & CompanyInitiates Coverage onMarket Perform
Nov 2014Barrington ResearchDowngradesOutperformMarket Perform
Nov 2014Dougherty & CompanyDowngradesBuyNeutral

View More Analyst Ratings for MOV
View the Latest Analyst Ratings

Posted-In: Brean Capital Eric BederAnalyst Color Initiation Analyst Ratings

 

Related Articles (MOV)

Around the Web, We're Loving...