Capri (NYSE:CPRI) Trading Down 4% Following Analyst Downgrade

Capri Holdings Limited (NYSE:CPRI) shares were down 4% on Thursday after Citigroup downgraded the stock from a buy rating to a neutral rating. Citigroup now has a $41.00 price target on the stock. Capri traded as low as $38.57 and last traded at $38.84. Approximately 1,373,797 shares traded hands during mid-day trading, an increase of 5% from the average daily volume of 1,304,383 shares. The stock had previously closed at $40.46.

Other analysts have also recently issued reports about the stock. StockNews.com cut shares of Capri from a “hold” rating to a “sell” rating in a research note on Tuesday, August 27th. Wells Fargo & Company dropped their price objective on shares of Capri from $43.00 to $42.00 and set an “overweight” rating on the stock in a report on Friday, August 9th. Jefferies Financial Group reduced their target price on Capri from $57.00 to $38.00 and set a “hold” rating for the company in a research note on Thursday, May 30th. Telsey Advisory Group reaffirmed a “market perform” rating and set a $42.00 price target on shares of Capri in a research report on Thursday, May 30th. Finally, UBS Group cut their price objective on Capri from $42.00 to $39.00 and set a “neutral” rating on the stock in a report on Wednesday. One analyst has rated the stock with a sell rating, four have given a hold rating and one has issued a buy rating to the company. Based on data from MarketBeat, the company has a consensus rating of “Hold” and a consensus price target of $40.40.

Institutional Trading of Capri

Hedge funds have recently modified their holdings of the stock. Brevan Howard Capital Management LP purchased a new stake in Capri in the 4th quarter worth approximately $3,153,000. Boulder Hill Capital Management LP purchased a new stake in Capri during the fourth quarter worth $1,904,000. State Board of Administration of Florida Retirement System grew its position in Capri by 17.6% during the first quarter. State Board of Administration of Florida Retirement System now owns 155,580 shares of the company’s stock valued at $7,312,000 after buying an additional 23,294 shares during the period. Nomura Holdings Inc. purchased a new position in Capri in the fourth quarter valued at $1,533,000. Finally, Gabelli Funds LLC increased its holdings in Capri by 7.1% in the first quarter. Gabelli Funds LLC now owns 504,599 shares of the company’s stock valued at $22,858,000 after buying an additional 33,550 shares in the last quarter. Hedge funds and other institutional investors own 84.34% of the company’s stock.

Capri Stock Performance

The company has a quick ratio of 0.41, a current ratio of 0.95 and a debt-to-equity ratio of 0.79. The firm has a market cap of $4.46 billion, a price-to-earnings ratio of -19.40, a P/E/G ratio of 6.66 and a beta of 1.97. The business’s 50-day simple moving average is $34.22 and its two-hundred day simple moving average is $37.08.

Capri (NYSE:CPRI) last announced its earnings results on Thursday, August 8th. The company reported $0.04 earnings per share for the quarter, missing the consensus estimate of $0.59 by ($0.55). Capri had a positive return on equity of 18.72% and a negative net margin of 5.81%. The business had revenue of $1.07 billion for the quarter, compared to analyst estimates of $1.16 billion. During the same period in the previous year, the company earned $0.74 earnings per share. The company’s quarterly revenue was down 13.2% compared to the same quarter last year. As a group, sell-side analysts expect that Capri Holdings Limited will post 2.12 earnings per share for the current fiscal year.

Capri Company Profile

Capri Holdings Limited designs, markets, distributes, and retails branded women's and men's apparel, footwear, and accessories in the United States, Canada, Latin America, Europe, the Middle East, Africa, and Asia. It operates through three segments: Versace, Jimmy Choo, and Michael Kors. The company offers ready-to-wear, accessories, footwear, handbags, scarves and belts, small leather goods, eyewear, watches, jewelry, fragrances, and home furnishings through a distribution network, including boutiques, department, and specialty stores, as well as through e-commerce sites.