Analysis of Capri Holdings Ltd (CPRI)’s performance, earnings and valuation

Capri Holdings Ltd [CPRI] stock prices are down -1.10% to $44.79 at the moment. It is a good measure of the stock’s recent performance to check whether the stock’s short-term value is rising or falling. The CPRI shares have lost -1.04% over the last week, with a monthly amount drifted -2.42%, and not seem to be holding up well over a long-time horizon.

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From an analyst’s perspective:

Capri Holdings Ltd [NYSE: CPRI] stock has seen the most recent analyst activity on July 31, 2023, when JP Morgan downgraded its rating to a Neutral but kept the price target unchanged to $47 for it. Previously, Morgan Stanley downgraded its rating to Equal-Weight on June 13, 2023, and dropped its price target to $40. On May 02, 2023, downgrade downgraded it’s rating to Equal Weight but maintained its price target of $46 on the stock. Jefferies downgraded its rating to a Hold and decreased its price target to $45 on April 25, 2023. Raymond James upgraded its rating to a Strong Buy but $60 remained the price target by the analyst firm on April 20, 2023. Cowen downgraded its rating to Market Perform for this stock on February 13, 2023, and downed its price target to $55. In a note dated December 20, 2022, Raymond James initiated an Outperform rating and provided a target price of $65 on this stock.

The stock price of Capri Holdings Ltd [CPRI] has been fluctuating between $34.17 and $54.52 over the past year. Currently, Wall Street analysts expect the stock to reach $69.5 within the next 12 months. Capri Holdings Ltd [NYSE: CPRI] shares were valued at $44.79 at the most recent close of the market. An investor can expect a potential return of 55.17% based on the average CPRI price forecast.

Analyzing the CPRI fundamentals

The Capri Holdings Ltd [NYSE:CPRI] reported sales of 5.28B for trailing twelve months, representing a drop of -5.62%. Gross Profit Margin for this corporation currently stands at 0.65% with Operating Profit Margin at 0.05%, Pretax Profit Margin comes in at 0.04%, and Net Profit Margin reading is 0.04%. To continue investigating profitability, this company’s Return on Assets is posted at 0.03, Equity is 0.11 and Total Capital is 0.05. An extended analysis of the company’s primary financial structure reveals a debt-to-equity ratio of1.92.

Before buying any particular stock, readers tend to pay close attention to the indicators that support and create resistance. The company’s stock is currently sitting at 44.48 points at the first support level, and at 44.16 for the second support level. However, for the 1st resistance point, the stock is sitting at 45.30, and for the 2nd resistance point, it is at 45.80.

Ratios To Look Out For

It’s worth pointing out that Capri Holdings Ltd [NYSE:CPRI]’s Current Ratio is 1.06. Further, the Quick Ratio stands at 0.49, while the Cash Ratio is 0.14. Considering the valuation of this stock, the price to sales ratio is 0.99, the price to book ratio is 2.69 and price to earnings (TTM) ratio is 25.10.

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