PVH Corporation designs, markets, and retails mens and womens apparel and accessories, branded dress shirts, neckwear, sportswear, jeanswear, intimate apparel, swim products, handbags, footwear, golf apparel, fragrances, cosmetics, eyewear, hosiery, socks, jewelry, watches, outerwear, small leather goods, and home furnishings, as well as other related products. Calvin Klein, Tommy Hilfiger, Van Heusen, and IZOD are just some of its well-known brands. The company was founded in 1881 and is based in New York, New York.
PVH Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for PVH, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Pvh Corp ranked in the 36th percentile in terms of potential gain offered. We should note, though, that all scenearios modelled for this stock suggest it is overvalued. As for the metrics that stood out in our discounted cash flow analysis of Pvh Corp, consider:
The company has produced more trailing twelve month cash flow than 80.1% of its sector Consumer Cyclical.
44% of the company's capital comes from equity, which is greater than merely 24.51% of stocks in our cash flow based forecasting set.
Pvh Corp's interest coverage rate -- a measure of gross earnings relative to interest payments -- comes in at -8.97. This coverage rate is greater than that of only 9.19% of stocks we're observing for the purpose of forecasting via discounted cash flows.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
HLT, CCK, RELX, FNKO, and JOUT can be thought of as valuation peers to PVH, in the sense that they are in the Consumer Cyclical sector and have a similar price forecast based on DCF valuation.
PVH designs and markets branded apparel in more than 40 countries. Its key fashion categories include men’s dress shirts, ties, sportswear, underwear, and jeans. PVH’s leading designer brands, Calvin Klein and Tommy Hilfiger, generate about 85% of its revenue. PVH also owns several smaller brands, including Izod, Van Heusen, and Arrow, and licenses brands from third parties. PVH distributes its clothing wholesale to retailers and through company-owned stores. The company traces its history to 1881 and is based in New York City.
During Monday evening's Mad Money program Jim Cramer told viewers that In the apparel space PVH Corp. and Tapestry Inc. have been unstoppable as of late. In the daily bar chart of PVH, below, we can see that the shares declined into early June but then drifted higher into August and then accelerated higher into September. The On-Balance-Volume (OBV) line shows a strong rise from early July as traders became more aggressive buyers.
PHV Corp. (PVH) reported better-than-expected second-quarter results driven by strong growth in e-commerce and a solid rebound in its European and Asian markets. While growth in e-commerce has been a constant theme for many retailers, we like how PVH operations showed resiliency abroad. It reinforces our belief that the company...
On a year-to-date basis, PVH (PVH) has underperformed on concerns around North America and wholesale. Going forward, however, I think the current below-par valuations present investors with an opportunity to buy into a self-help story, as management downsizes its wholesale presence and drives growth in Direct-to-Consumer (DTC) and International. As...
Opal Investment Research on Seeking Alpha | September 11, 2020
A group representing some of the largest US and international apparel companies has called on Washington to convince other countries to pressure China to end forced labour in its Xinjiang Uygur autonomous region.An official of the American Apparel and Footwear Association - which represents The Gap, Versace, Jimmy Choo and other brands - said on Thursday that more countries must join diplomatic efforts to halt forced labour in the region."The United States has done nothing to bring Europe along, Australia, Canada, Japan, Korea," Nate Herman, the association's senior vice-president of policy, said on Thursday in an online discussion hosted by the US-China Business Council.Get the latest insights and analysis from our Global Impact newsletter on the big stories originating i...