Capri Holdings Limited Ordinary Shares (CPRI) Company Bio
Capri Holdings engages in the design, marketing, distribution, and retailing of branded womens apparel and accessories, and mens apparel. The company was founded in 1981 and is based in London, the United Kingdom.
CPRI Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for CPRI, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Capri Holdings Ltd ranked in the 55th percentile in terms of potential gain offered. Specifically, our DCF analysis implies the stock is trading below its fair value by an estimated 40.67%. The most interesting components of our discounted cash flow analysis for Capri Holdings Ltd ended up being:
34% of the company's capital comes from equity, which is greater than only 17.3% of stocks in our cash flow based forecasting set.
Capri Holdings Ltd's interest coverage rate -- a measure of gross earnings relative to interest payments -- comes in at -10.83. This coverage rate is greater than that of merely 8.17% of stocks we're observing for the purpose of forecasting via discounted cash flows.
As a business, Capri Holdings Ltd experienced a tax rate of about 0% over the past twelve months; relative to its sector (Consumer Cyclical), this tax rate is higher than just 0% of stocks generating free cash flow.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
MTOR, WMG, HMTV, GES, and OMC can be thought of as valuation peers to CPRI, in the sense that they are in the Consumer Cyclical sector and have a similar price forecast based on DCF valuation.
Capri Holdings Limited (NYSE: CPRI) today announced that it plans to report its first quarter fiscal year 2021 financial results on Wednesday, August 5, 2020, before the market opens. The Company also plans to hold a conference call to discuss its financial results the same day at 8:30 a.m. ET.
Investment Thesis Capri Holdings (NYSE: CPRI) is a viable long-term company if they manage to improve the brand value of Michael Kors. While Versace and Jimmy Choo are both established luxury retailers and provide inventive clothing, Michael Kors is failing to target a certain audience. Michael Kors clothing isn't inherently...
Ishwarya Prasanna on Seeking Alpha | July 16, 2020
Baird trims estimates on Capri Holdings ([[CPRI]] +0.4%) after reviewing the company's 10-K filing. The firm says the lowered estimates reflect higher interest expense, higher share count and refined assumptions on the near-term trajectory of the sales and margin recovery. "Notably, though not surprisingly, the filing also eliminated reference to...