Wall Street’s views: PVH versus peers
PVH Corp. (PVH) is covered by 19 Wall Street analysts, who together rate the company 2.0 on a scale of 1 (strong buy) to 5 (strong sell). Its rating has come down over the last two months. It was rated 1.8 in June.
Most investment firms are positive on PVH
About 79% of the 19 analysts covering PVH recommend a “buy” for the stock. They include Deutsche Bank, Barclays, and Citigroup. The company has a higher percentage of “buy” recommendations than most of its peers. In comparison, VF Corporation, Hanesbrands, and Ralph Lauren have “buy” recommendations from 70%, 40%, and 20% of analysts, respectively.
About 16% of the 19 analysts covering PVH have recommended a “hold” for the stock. They include Nomura, UBS, and Instinet. Only one analyst has recommended a “sell.”
Goldman Sachs recently initiated coverage on PVH with a “sell” rating. The analyst cited fading tailwinds and a growing share of wholesale rather than retail as the key points behind the bearish stance.
PVH Corp. was trading at $152.55 on August 22, which is ~11% below its 52-week high. Wall Street expects PVH to reach $172.83 over the next 12 months, reflecting a 13% upside to its current price.
PVH has a better upside than VFC, KORS, and HBI, whose stocks are projected to rise 9%, 2%, and 10%, respectively.
ETF investors seeking to add exposure to PVH can consider the iShares Edge MSCI Multifactor Consumer Discretionary ETF (CNDF), which invests 2.2% of its portfolio in PVH.