- Earlier this month, Barclays resumed coverage of Capri Holdings with an Overweight/Buy rating, citing stronger momentum at Michael Kors and benefits from the completed Versace sale.
- The renewed analyst focus highlights how easing promotional intensity and improving brand traction are becoming central to the Capri investment story.
- Now we’ll explore how Barclays’ upbeat view on Michael Kors’ brand momentum may influence Capri Holdings’ broader investment narrative.
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Capri Holdings Investment Narrative Recap
To own Capri, you have to believe that Michael Kors can regain consistent consumer traction while the group manages cost pressure and brand fatigue. Barclays’ renewed coverage reinforces the near term catalyst around improving Kors momentum, but it does not fundamentally change the key risk that revenue is still declining and promotions may need to rise again if demand stalls.
Among recent updates, the new US$1,000 million share repurchase authorization stands out in this context. It sits alongside Barclays’ positive stance as a form of capital return that can support per share metrics while the company works through revenue softness, cost inflation and the heavy investment needs of an aging store fleet.
Yet beneath Barclays’ optimism, investors still need to consider how exposed Capri remains to rising tariffs and...
Read the full narrative on Capri Holdings (it's free!)
Capri Holdings’ narrative projects $3.7 billion revenue and $351.8 million earnings by 2028. This implies revenues declining by 5.7% per year and an earnings increase of about $1.5 billion from -$1.1 billion today.
Uncover how Capri Holdings' forecasts yield a $26.54 fair value, in line with its current price.
Exploring Other Perspectives
Simply Wall St Community members have four fair value estimates for Capri, ranging from US$2 to US$65.16, underscoring how far apart individual views can be. When you set those against ongoing revenue declines and brand fatigue risk, it becomes clear why checking several perspectives before forming an opinion on Capri’s prospects really matters.
Explore 4 other fair value estimates on Capri Holdings - why the stock might be worth over 2x more than the current price!
Build Your Own Capri Holdings Narrative
Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.
- A great starting point for your Capri Holdings research is our analysis highlighting 3 key rewards and 1 important warning sign that could impact your investment decision.
- Our free Capri Holdings research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Capri Holdings' overall financial health at a glance.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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