Michael Kors Rallies Over 13% After Earnings Beat

Michael Kors

shares rallied Tuesday morning after the luxury apparel company reported earnings that exceeded expectations. Kors also offered up impressive guidance. CEO Idol attributed the growth in earnings to continued execution of key growth strategies and the overall success of the Michael Kors brand. First-quarter EPS came in at $0.34, much higher than the $0.20 that was expected. Kors reported revenue of $397.4 million, just about 8% higher than the expected $367.96 million estimate. In terms of guidance, Kors saw fiscal year 2013 EPS of $1.32-1.34, above the $1.13 analyst estimate and fiscal year 2013 revenue of $1.8-1.9 billion, greater than the $1.78 billion estimate. The announcement lead Jefferies to maintain Michael Kors at Buy, but raising their PT from $60 to $65. Michael Kors traded near $48.26 on Tuesday.