Goldman Sachs analyst Brooke Roach revised ratings on Warby Parker Inc. (NYSE:WRBY) and Canada Goose Holdings Inc. (NYSE:GOOS) ahead of third-quarter earnings.
The analyst writes that they have noticed fluctuating trends in the apparel sector amid a transition from summer to early fall.
However, consumers remain resilient, focusing their spending on brands that offer innovation and newness, adds the analyst.
Roach expects volatility for the remainder of 2024, but early signs, such as falling gas prices and increased consumer discretionary cash flow in the U.S. and Europe, indicate a more positive outlook for 2025.
Easing post-COVID pressures and balanced industry inventory levels are creating better opportunities for brands and vendors, adds the analyst.
The analyst highlights key factors to watch, which include the upcoming U.S. elections and their potential implications for tariffs and geopolitical risks, a shortened holiday season, and challenges posed by early fall weather, including recent hurricanes and unseasonably warm temperatures.
WRBY: The analyst upgraded the stock to Buy from Neutral and raised the price target to $18 from $15.
The analyst writes that they see several promising tailwinds for the business.
The positives include the expansion of insurance partnerships into next year, early signs of growth in the vision care market, and increasing active customer numbers.
These factors, coupled with improved gross profit rates from stronger glasses sales and cost-efficiency efforts in stores, create a clearer path for enhancing fundamentals, adds the analyst.
GOOS: Roach downgraded the stock to Sell from Neutral and lowered the price target to $9 from $11.5.
The analyst writes that they find the risk/reward profile for the company less appealing compared to other companies in the brands and apparel sector.
The bearish outlook reflects heightened competition, signs of normalizing brand momentum and engagement, and a slowing global luxury market.
On the other hand, the analyst is optimistic about GOOS's strategic initiatives, such as product capsules from the new creative director and management's emphasis on improving retail execution.
Price Action: WRBY shares are up 5.92% at $17.53, while GOOS shares are down 6.6% at $10.50 at the last check Monday.
高盛分析師布Brooke Roach在第三季度業績公佈前修改了Warby Parker Inc.（紐約證券交易所代碼：WRBY）和加拿大鵝控股公司（紐約證券交易所代碼：GOOS）的評級。
這位分析師寫道，他們注意到在從夏季到初秋的過渡中，服裝行業的趨勢正在波動。
但是，分析師補充說，消費者保持彈性，將支出集中在提供創新和新穎性的品牌上。
Roach預計，2024年剩餘時間將出現波動，但天然氣價格下跌以及美國和歐洲消費者自由支配現金流增加等早期跡象表明，2025年的前景更加樂觀。
分析師補充說，後疫情壓力的緩解和平衡的行業庫存水平爲品牌和供應商創造了更好的機會。
這位分析師強調了值得關注的關鍵因素，包括即將舉行的美國大選及其對關稅和地緣政治風險的潛在影響、假日季的縮短以及初秋天氣帶來的挑戰，包括最近的颶風和異常溫暖的氣溫。
WRBY：分析師將該股從中性上調至買入，並將目標股價從15美元上調至18美元。
這位分析師寫道，他們認爲該業務將迎來一些有希望的利好因素。
積極因素包括將保險合作伙伴關係擴展到明年，視力保健市場出現增長的早期跡象，以及活躍客戶數量的增加。
分析師補充說，這些因素，加上眼鏡銷售強勁帶來的毛利率提高和門店的成本效益，爲改善基本面開闢了更清晰的路徑。
GOOS：羅奇將該股的評級從中性下調至賣出，並將目標股價從11.5美元下調至9美元。
這位分析師寫道，他們發現與品牌和服裝領域的其他公司相比，該公司的風險/回報狀況不那麼吸引人。
悲觀的前景反映了競爭加劇、品牌勢頭和參與度正常化的跡象以及全球奢侈品市場的放緩。
另一方面，分析師對GOOS的戰略舉措持樂觀態度，例如新任創意董事的產品膠囊以及管理層對改善零售執行的重視。
價格走勢：在週一的最後一次檢查中，WRBY股價上漲5.92％，至17.53美元，而GOOS股價下跌6.6％，至10.50美元。
