Investors Purchase High Volume of Call Options on Capri (NYSE:CPRI)

Capri Holdings Limited (NYSE:CPRI) saw some unusual options trading on Wednesday. Traders purchased 23,357 call options on the company. This represents an increase of approximately 99% compared to the typical volume of 11,761 call options.

Wall Street Analysts Forecast Growth

Several brokerages recently issued reports on CPRI. StockNews.com cut Capri from a “hold” rating to a “sell” rating in a research note on Tuesday, August 27th. Citigroup downgraded Capri from a “buy” rating to a “neutral” rating and set a $41.00 price target on the stock. in a research report on Friday, September 13th. Wells Fargo & Company decreased their price objective on Capri from $43.00 to $42.00 and set an “overweight” rating for the company in a report on Friday, August 9th. Finally, UBS Group dropped their target price on shares of Capri from $42.00 to $39.00 and set a “neutral” rating on the stock in a report on Wednesday, September 11th. One equities research analyst has rated the stock with a sell rating, four have issued a hold rating and one has issued a buy rating to the stock. According to data from MarketBeat.com, the stock has an average rating of “Hold” and a consensus price target of $40.40.

Capri Stock Performance

NYSE CPRI opened at $43.19 on Friday. The stock has a market capitalization of $5.04 billion, a price-to-earnings ratio of -21.92, a PEG ratio of 6.27 and a beta of 1.97. The stock has a 50-day moving average of $36.75 and a 200 day moving average of $36.28. The company has a current ratio of 0.95, a quick ratio of 0.41 and a debt-to-equity ratio of 0.79. Capri has a twelve month low of $29.28 and a twelve month high of $52.19.

Capri (NYSE:CPRI) last released its earnings results on Thursday, August 8th. The company reported $0.04 EPS for the quarter, missing analysts’ consensus estimates of $0.59 by ($0.55). Capri had a positive return on equity of 18.72% and a negative net margin of 5.81%. The company had revenue of $1.07 billion for the quarter, compared to analysts’ expectations of $1.16 billion. During the same period in the prior year, the firm earned $0.74 EPS. The firm’s revenue for the quarter was down 13.2% on a year-over-year basis. Sell-side analysts anticipate that Capri will post 2.12 EPS for the current fiscal year.

Institutional Trading of Capri

Several large investors have recently added to or reduced their stakes in CPRI. Brevan Howard Capital Management LP acquired a new position in Capri in the fourth quarter valued at about $3,153,000. Aristides Capital LLC purchased a new stake in shares of Capri in the 2nd quarter valued at approximately $1,865,000. State Board of Administration of Florida Retirement System boosted its position in shares of Capri by 17.6% during the 1st quarter. State Board of Administration of Florida Retirement System now owns 155,580 shares of the company’s stock worth $7,312,000 after purchasing an additional 23,294 shares during the period. Nomura Holdings Inc. purchased a new position in shares of Capri during the 4th quarter worth approximately $1,533,000. Finally, Gabelli Funds LLC increased its holdings in Capri by 7.1% in the 1st quarter. Gabelli Funds LLC now owns 504,599 shares of the company’s stock valued at $22,858,000 after purchasing an additional 33,550 shares during the last quarter. 84.34% of the stock is currently owned by hedge funds and other institutional investors.

Capri Company Profile

Capri Holdings Limited designs, markets, distributes, and retails branded women's and men's apparel, footwear, and accessories in the United States, Canada, Latin America, Europe, the Middle East, Africa, and Asia. It operates through three segments: Versace, Jimmy Choo, and Michael Kors. The company offers ready-to-wear, accessories, footwear, handbags, scarves and belts, small leather goods, eyewear, watches, jewelry, fragrances, and home furnishings through a distribution network, including boutiques, department, and specialty stores, as well as through e-commerce sites.