For fashion brands, watches have emerged as a key vector of growth, often powered by licensing deals with Fossil Group, a watchmaking behemoth that designs, manufactures, distributes and markets million of watches per year.
The Savigny Luxury Index turned around in mid October as confidence in the US economy returned and the US Federal Reserve ended quantitative easing.
The Savigny Luxury Index fell sharply over the month, losing 4.2 percent versus a flat MSCI World Index, as the industry suffers from a general slowdown and a red alert situation in Hong Kong.
Michael Kors Holdings Ltd., a maker of designer clothing and handbags, will hold a secondary offering of 11.6 million shares to let the company’s biggest shareholder sell its stake.
Michael Kors Holdings Ltd. said first-quarter sales rose 43 percent, topping analysts’ estimates, as it took market share from established rivals.
The Savigny Luxury Index fell a further 3.8 percent this month. The outlook for the luxury goods sector darkened as disappointing results from industry leader LVMH showed how the strong euro and political protests in Hong Kong were curbing spending and hitting profits.
NEW YORK, United States — Michael Kors has been riding high with investors, but the retailer's stock is falling this week as some analysts take a look at slowing sales growth and deeper discounts. Two analysts cut their price targets on the stock.
BoF compiles the most important professional moves of the week.
The Savigny Luxury Index continued its upward ascent gaining over two percent this month, driven by positive newsflow and reassured prospects for the Chinese economy.
NEW YORK, United States — Dazzled for two-and-a-half years, Wall Street finally blinked when Michael Kors Holdings Ltd warned that its margins might suffer from the cost of opening stores in Europe.