Michael Kors Holdings (KORS) has performed incredibly well this year, with no signs of relenting any time soon. The high-end apparel company with a market cap of $11.88 billion is currently trading at $59.24 per share, up 15.10 percent this quarter. Furthermore, the company’s earnings-per-share growth is estimated at an extremely healthy 30.27 percent for the next year.
Forward EPS growth estimates are not a fool-proof means of determining how profitable a company might be in the future. In the worst case scenario, less scrupulous companies can employ a variety of means to inflate or otherwise manipulate their EPS figures. The more likely error in focusing solely on EPS figures, however, is that they do not usually account for how much investment was or will be required in order to generate the earnings.
With that caveat out of the way EPS growth calculations, especially considered in concert with other factors, can be very helpful in determining future profitability of a given company.
Here are five other apparel stocks that have performed well this quarter, and have positive EPS growth figures forecasted for the coming year:
American Eagle Outfitters Inc. (AEO) – The company has a market cap of $4.10 billion, with shares trading at $20.69 as of Tuesday’s close. For the current quarter, the stock has a return rate of 6.7 percent, and EPS growth for next year is 11.43 percent.
Abercrombie & Fitch Co. (ANF) – With a market cap of $3.62 billion, and shares trading at $45.46 with the present quarter’s rate of return at 2.39 percent. EPS growth for next year is estimated at 21.81 percent.
Guess Inc. (GES) – Guess’s market cap is $2.34 billion with shares trading at $27.34. The stock’s rate of return for this quarter is 16.59 percent, with an EPS growth for the next year estimated at 11.54 percent.
Ross Stores Inc. (ROST) – The apparel retailer has a market cap of $12.5 billion, with shares trading at $56.23. The stocks return rate is 1.11 percent, and EPS growth for the next year is forecasted at 9.92 percent.
Urban Outfitters Inc. (URBN) – The company has a market cap of $5.77 billion and a share price of $39.56. Its rate of return for this quarter is currently 4.49 percent, and has a healthy EPS figure of 22.70 percent for the next year.
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