Capri (NYSE:CPRI) Shares Down 3.7% – Time to Sell?

Shares of Capri Holdings Limited (NYSE:CPRI) were down 3.7% on Monday . The stock traded as low as $14.17 and last traded at $14.2030. Approximately 260,723 shares changed hands during mid-day trading, a decline of 93% from the average session volume of 3,523,042 shares. The stock had previously closed at $14.75.

Capri News Roundup

Here are the key news stories impacting Capri this week:

• Positive Sentiment: Market reports said Capri has been connecting with potential buyers, raising expectations of a strategic transaction involving the owner of Versace, Jimmy Choo and Michael Kors. Capri Connects With Potential Buyers
• Positive Sentiment: Jefferies said a reasonable takeover outcome could value Capri at approximately $25 to $26 per share, implying more than 60% upside based on the stock’s recent level. The commentary helped reinforce merger-arbitrage and buyout speculation. Jefferies on Capri Holdings
• Positive Sentiment: Capri was among the market’s notable movers as investors responded to reports that potential buyers are circling the luxury fashion group. Stocks making the biggest moves midday
• Neutral Sentiment: The reports describe market chatter and possible buyer interest, not a confirmed offer or definitive agreement. Any takeover premium therefore remains uncertain, and the stock could give back gains if negotiations do not progress.
• Negative Sentiment: Capri was recently removed from the S&P 400 Consumer Discretionary Index, which can reduce passive-fund demand and modestly weigh on investor sentiment. Capri dropped from S&P 400 Consumer Discretionary

Analyst Ratings Changes

Several equities research analysts recently weighed in on the company. Telsey Advisory Group decreased their price target on Capri from $21.00 to $18.00 and set a “market perform” rating for the company in a report on Thursday, August 6th. Jefferies Financial Group reissued a “hold” rating on shares of Capri in a research note on Tuesday. Wall Street Zen upgraded shares of Capri from a “hold” rating to a “buy” rating in a research note on Saturday, September 5th. The Goldman Sachs Group reduced their target price on shares of Capri from $21.00 to $18.00 and set a “neutral” rating for the company in a research note on Thursday, August 6th. Finally, Raymond James Financial reaffirmed an “outperform” rating and issued a $22.00 target price on shares of Capri in a report on Thursday, May 28th. One equities research analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating, nine have assigned a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, Capri presently has an average rating of “Hold” and a consensus target price of $21.93.

Capri Price Performance

The company has a debt-to-equity ratio of 2.27, a current ratio of 1.19 and a quick ratio of 0.54. The company has a 50-day simple moving average of $14.74 and a 200-day simple moving average of $17.41. The stock has a market cap of $1.73 billion, a PE ratio of 11.68, a PEG ratio of 0.31 and a beta of 1.38.

Capri (NYSE:CPRI) last announced its quarterly earnings results on Wednesday, August 5th. The company reported $0.67 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.40 by $0.27. The business had revenue of $769.00 million during the quarter, compared to the consensus estimate of $757.61 million. Capri had a net margin of 4.44% and a return on equity of 297.36%. The business’s revenue was down 3.5% compared to the same quarter last year. During the same quarter last year, the firm posted $0.50 EPS. Capri has set its Q2 2027 guidance at 0.200-0.200 EPS and its FY 2027 guidance at 2.150-2.150 EPS. Sell-side analysts anticipate that Capri Holdings Limited will post 2.11 EPS for the current fiscal year.

Institutional Trading of Capri

Large investors have recently bought and sold shares of the company. Engineers Gate Manager LP acquired a new position in shares of Capri during the 2nd quarter worth approximately $3,804,000. Squarepoint Ops LLC acquired a new stake in Capri during the 2nd quarter valued at $4,878,000. Corient Private Wealth LP increased its position in Capri by 8.1% during the second quarter. Corient Private Wealth LP now owns 111,959 shares of the company’s stock worth $2,079,000 after buying an additional 8,404 shares in the last quarter. VIRGINIA RETIREMENT SYSTEMS ET Al purchased a new position in Capri during the second quarter worth $600,000. Finally, Handelsbanken Fonder AB increased its position in Capri by 85.6% during the second quarter. Handelsbanken Fonder AB now owns 63,100 shares of the company’s stock worth $1,172,000 after buying an additional 29,100 shares in the last quarter. Institutional investors and hedge funds own 84.34% of the company’s stock.

About Capri

Capri Holdings Limited (NYSE: CPRI) is a global fashion company that designs, manufactures, markets and distributes luxury apparel, accessories and footwear. Its portfolio includes the Michael Kors and Jimmy Choo brands, which offer products such as handbags, shoes, ready-to-wear clothing, watches, jewelry, eyewear and fragrances.

Michael Kors is known for its accessible luxury fashion and lifestyle products, while Jimmy Choo focuses on luxury footwear, handbags and accessories. The brands serve customers through company-operated stores, e-commerce platforms, department stores, specialty retailers, travel retail locations and selected licensing arrangements.

Capri Holdings was established as Michael Kors Holdings Limited in 2011 and adopted the Capri name in 2018 after expanding its portfolio through acquisitions of Jimmy Choo and Versace.