Shares of Capri Holdings Ltd (CPRI) are soaring 16.04% in intraday trading on Wednesday, following the release of its impressive first-quarter fiscal 2026 results and an optimistic outlook for the second quarter. The luxury fashion group, which owns brands such as Michael Kors, Versace, and Jimmy Choo, significantly outperformed analysts' expectations across key financial metrics.

Capri Holdings reported adjusted earnings per share (EPS) of $0.50, substantially surpassing the analyst consensus estimate of $0.14. The company's revenue for the quarter came in at $797 million, beating the Street's forecast of $793.1 million. Notably, Capri's adjusted net income reached $60 million, compared to the estimated $15.7 million, while adjusted operating income stood at $20 million, far exceeding the expected $1.71 million.

Adding to the positive sentiment, Capri provided an upbeat forecast for the second quarter, projecting revenue between $815 million and $835 million, above analysts' expectations. The company's CEO also noted that consumers continue to respond positively to new product introductions and the pricing architecture in accessories, indicating strong brand momentum. Despite challenges such as increased tariff costs, Capri's better-than-expected performance and optimistic outlook have clearly resonated with investors, driving the significant stock price increase.