09:10 AM EDT, 04/02/2024 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

We cut our 12-month price target by $21 to $138, based on 12.0x our FY 25 (Jan.) EPS estimate and below the company's 5-year average forward P/E multiple of 13.1x. We lower our FY 25 EPS estimate by $1.75 to $11.50 and start our FY 26 EPS estimate at $12.25. PVH posts normalized Q4 EPS of $3.72 vs. $2.38, $0.20 above consensus estimates on revenues of $2.49B vs. $2.49B and $69M above estimates. Direct-to-consumer revenue increased 9% Y/Y, while wholesale revenue declined 10%. Digital sales increased 1%. By brand in Q4, Tommy Hilfiger revenue increased 1% Y/Y while Calvin Klein revenue increased 4%. Q4 gross margin expanded 440 bps to 60.3% due to lower freight costs, a favorable shift in regional and channel mix, and lower product costs. Although we are disappointed with PVH's full-year guidance, we think the after-hours sell-off is overdone and believe the company set the bar low, which should lead to beat and raises over the next few quarters. With shares now trading at 10x FY 25 EPS guidance, we see value.