Canada Goose (NYSE:GOOS) Trading Down 8.1% - Should You Sell?

Key Points

• Canada Goose shares fell 8.1%, trading at $11.72, with approximately 1,072,351 shares exchanged, marking a decline in trading volume.
• Analysts have a consensus rating of "Hold," with a target price of $11.25, despite upgrades from several firms, including a price increase from Barclays from $11.00 to $14.00.
• The company's latest earnings results showed a net margin of 7.02% and revenue of $266.83 million, which was below analysts' expectation of $355.76 million.

Canada Goose Holdings Inc. (NYSE:GOOS - Get Free Report) shares were down 8.1% on Thursday . The company traded as low as $11.82 and last traded at $11.72. Approximately 1,072,351 shares were traded during trading, a decline of 4% from the average daily volume of 1,111,967 shares. The stock had previously closed at $12.75.

Wall Street Analysts Forecast Growth

Several research firms have recently commented on GOOS. Evercore ISI set a $11.00 price target on shares of Canada Goose and gave the company an "in-line" rating in a report on Thursday, May 22nd. The Goldman Sachs Group boosted their price target on shares of Canada Goose from $8.00 to $9.00 and gave the company a "sell" rating in a report on Thursday, May 22nd. Wall Street Zen lowered shares of Canada Goose from a "buy" rating to a "hold" rating in a report on Saturday. Wells Fargo & Company upgraded shares of Canada Goose from an "equal weight" rating to an "overweight" rating in a report on Friday. Finally, Barclays reduced their price target on shares of Canada Goose from $14.00 to $13.00 and set an "equal weight" rating for the company in a report on Friday. One investment analyst has rated the stock with a sell rating, five have given a hold rating and one has issued a buy rating to the company's stock. According to data from MarketBeat.com, Canada Goose currently has a consensus rating of "Hold" and an average target price of $11.00.

Canada Goose Stock Performance

The business's 50-day moving average price is $12.37 and its 200-day moving average price is $10.31. The company has a current ratio of 2.02, a quick ratio of 0.89 and a debt-to-equity ratio of 0.87. The stock has a market cap of $1.11 billion, a PE ratio of 33.76, a P/E/G ratio of 0.75 and a beta of 1.45.

Canada Goose (NYSE:GOOS - Get Free Report) last issued its quarterly earnings data on Thursday, July 31st. The company reported ($0.66) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of ($0.62) by ($0.04). Canada Goose had a return on equity of 19.85% and a net margin of 3.48%. The firm had revenue of $77.91 million during the quarter, compared to analysts' expectations of $68.33 million. During the same period in the previous year, the firm earned $0.78 EPS. As a group, equities research analysts expect that Canada Goose Holdings Inc. will post 0.7 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of the company. The Manufacturers Life Insurance Company grew its position in shares of Canada Goose by 0.7% in the 1st quarter. The Manufacturers Life Insurance Company now owns 5,363,960 shares of the company's stock worth $42,643,000 after buying an additional 39,012 shares during the last quarter. Patient Capital Management LLC grew its position in Canada Goose by 3.4% during the 4th quarter. Patient Capital Management LLC now owns 3,854,520 shares of the company's stock worth $38,661,000 after purchasing an additional 128,133 shares during the last quarter. Timucuan Asset Management Inc. FL grew its position in Canada Goose by 10.8% during the 1st quarter. Timucuan Asset Management Inc. FL now owns 1,948,240 shares of the company's stock worth $15,489,000 after purchasing an additional 189,715 shares during the last quarter. Arrowstreet Capital Limited Partnership purchased a new stake in Canada Goose during the 4th quarter worth approximately $12,251,000. Finally, Penn Capital Management Company LLC purchased a new stake in Canada Goose during the 4th quarter worth approximately $5,702,000. Hedge funds and other institutional investors own 83.64% of the company's stock.

About Canada Goose

Canada Goose Holdings Inc, together with its subsidiaries, designs, manufactures, and sells performance luxury apparel for men, women, youth, children, and babies in Canada, the United States, Asia Pacific, Europe, the Middle East, and Africa. The company operates through three segments: Direct-to-Consumer, Wholesale, and Other.