Analysts On VF Corp’s Tough Road: ‘Higher Costs, Softer Sales, And A Higher Tax Rate’
Shares of VF Corp (NYSE:VFC) were trading lower on Thursday, after the company reported weak results for its fiscal fourth quarter.
The results came amid an exciting earnings season. Here are some key analyst takeaways.
BofA Securities On VF Corp
Analyst Lorraine Hutchinson maintained an Underperform rating, while cutting the price target from $13 to $11.
VF Corp reported an adjusted loss of 32 cents per share, compared to expectations of adjusted earnings of 2 cents per share, due to “higher costs, softer sales, and a higher tax rate,” Hutchinson said. For the current quarter, management expects a similar decline in sales and gross margin contraction as reported for the fiscal fourth quarter, she added.
“VFC refrained from providing detailed F25 guidance except to say it expects gradual sales improvement through the year,” the analyst wrote. She further stated that it is time for the company to “turn around key brands (Vans, TNF) and get leverage back to …
Full story available on Benzinga.com
