Tuesday, 02 January 2024 12:17 GMT

Calvin Klein Parent PVH Boosts Retail Trader Confidence As Stock Jumps On Return-To-Growth Forecast


(MENAFN- AsiaNet News)

Retail investors turned bullish on PVH Corp after the company behind Tommy Hilfiger and Calvin Klein fashion brands reported strong quarterly results and projected a return to revenue growth this year.

On Stocktwits, the retail sentiment for PVH shifted to 'extremely bullish' (87/100) from 'neutral' the previous day, and message volume rose 900% in the past 24 hours. PVH stock climbed 6.4% in after-hours trading on Tuesday, after notching its fourth straight session of gains.

PVH sentiment and message volume as of August 26 | Source: Stocktwits

The company said ad campaigns, such as a Calvin Klein underwear promo featuring Puerto Rican superstar Bad Bunny and "Tommy X F1 The Movie," a Tommy Hilfiger collection and marketing effort around the Brad Pitt movie, helped boost sales.

In the second quarter, revenue increased 4% to $2.17 billion, and adjusted earnings per share were $2.52. Both were above analysts' expectations of $2.12 billion in revenue and $2.01 in adjusted per-share profit.

The company reported an 11% increase in revenue from the Americas, driven partially by the shift in the timing of wholesale shipments to the first half of this year from the second half.

PVH stated that it now expects fiscal 2026 revenue to "increase slightly to low single digits," an improvement over its earlier forecast for a range of flat to a slight increase.

"We continue to expect 2025 to mark our return to growth," CEO Stefan Larsson said. PVH's topline declined 6% in its fiscal year 2025, which ended in January, partly due to weak performance in European markets.

So far this year, PVH stock has declined 22%.

For updates and corrections, email newsroom[at]stocktwits[dot]com.

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