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Michael Kors: Falling Apart At The Seams

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  • Michael Kors reported mixed results and provided a major guide down for the current quarter.
  • The Coach example suggests that Michael Kors is unlikely to rebound from the collapsing stock price anytime soon.
  • Limited downside risk is not a good enough reason to own the stock.
With Michael Kors (NYSE:KORS) down nearly 25% in trading on Wednesday following a weak quarterly report, investors that bought shortly after the IPO back in early 2012 now have limited gains. The large success of Michael Kors along with the recent resilience of Coach (NYSE:COH) might highlight a saturated market for high-end handbags and related accessories.

Read the full article at Seeking Alpha.


Disclosure: No positions mentioned. Please review the disclaimer page for more details. 


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