PVH Seen Delivering Long-Term Earnings Growth on Brand Strength, UBS Says

MT Newswires Live
04/02

PVH (PVH) has the brand strength, strategy and the balance sheet to drive its earnings growth over the long-term, with the company slated to deliver an earnings per share long-term compound annual growth rate in the double-digits, UBS Securities said in a Thursday note.

The brokerage said the company's fiscal Q4 results as well as its fiscal 2026 guidance reinforce its conviction in this view. PVH posted better-than-expected Q4 results late Tuesday and said it expects fiscal 2026 non-GAAP EPS of $11.80 to $12.10, with revenue anticipated to increase slightly from 2025.

The firm, however, lowered its fiscal 2026 EPS estimate to $12.10 from $12.50 and sales outlook by about 1% amid exposure to the Middle East region.

UBS also lowered its fiscal 2026 gross margin outlook on higher pressure from tariffs than previously thought, but added that PVH's Middle East sales will rebound and the company will capture lost margin.

The firm has a buy rating with a $120 price target, implying about 57% upside from current levels.

Price: 74.88, Change: -1.68, Percent Change: -2.19

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