2013年8月13日星期二

Coach, Inc. (COH), Michael Kors Holdings Ltd. (KORS), a company of the highest quality in the Bargain Bin

Coach, Inc. Hermes picotin herpicot has a severe blow last week, the company made a reported disappointing results for the second quarter. Sales in North America have slowed down lately and the company clearly feels the pressure of the trendiest like Michael Kors Holdings Ltd. (NYSE: KORS) competitors. But it is still a very profitable business with a brand value and many opportunities for growth, the current weakness thereby compensating for the opportunity to take a look at long term buy. A Mixed Bag Sales in North America rose by 6% in the last quarter were direct sales 5% higher, but comparable sales decreased 1.7% compared to last year. North American sales were disappointing, a recurring problem for the coach in the last quarter, which is the biggest cause for concern about the prospects for the company in the medium term. Development of traffic management quotes sweet as one of the reasons for the disappointing sales figures, and Ralph Lauren Corporation (NYSE: RL) has confirmed as the conditions are difficult for retailers to high-end fashion, Tuesday. The company recorded a decline of 1% on a comparable sales for the fourth quarter had the same number of store sales worse than Ralph Lauren in the past five years, and the news sent the stock by more than 6%. Cheap Chanel Bag On the other hand, Coach, Inc. (NYSE: COH) 's "most serious competitor, Michael Kors Holdings Ltd. (NYSE: KORS) is firing on all cylinders. The company announced an explosive 55% increase in sales for the last quarter and comparable sales in North America increased by 25% over the previous year. No Kors suffer economic hardship, and the company has significant market share compared to the coach handbags in the upscale and accessories business. Michael Kors Holdings Ltd. (NYSE: KORS) is trendy right now, and the company has almost half of the income of Coach, Inc. (NYSE: COH), so it has plenty of room to gain market share from its larger rival. The way things are going, it seems Kors will continue to be a headache for the coach for a while. On the other hand, investors should note that this is not a zero-sum game, there is room for different players success in the industry. Michael Kors Holdings Ltd. (NYSE: KORS) is connected and targeted at young consumers, while the coach is more on the classic side. So even if they are direct competitors, at some point, the two companies should be able to grow and prosper together. Moreover, it was not all bad news for coach, Inc. (NYSE: COH) in the last quarter - the company is remarkably well in China, where sales increased by 35% for the quarter with double-digit sales transactions. Last year, the coach has increased its sales in the Asian giant 40%. The company was founded in handbags and accessories for men dare lately, and performance in this area is very promising research. Sales in this segment increased by almost 50% last year, so while the coach is losing market share report Kors handbags and accessories for women, the company, after Ralph Lauren Corporation (NYSE: RL) in and other high-end retailers the domain of men. Michael Kors Outlet

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