The Business of Fashion
Agenda-setting intelligence, analysis and advice for the global fashion community.
Agenda-setting intelligence, analysis and advice for the global fashion community.
NEW YORK, United States — Kate Spade & Co., the handbag maker that's expanding into other product lines, rose the most in five months after an analyst at Cleveland Research Co. recommended buying the shares because of the brand's growth potential.
Consumers are becoming increasingly aware of Kate Spade, which may be in the “early-to-mid” stages of its growth cycle, Matthew Delly, a Cleveland Research analyst, wrote in a note to clients on Thursday.
Kate Spade has a “meaningful growth runway over the next several years and appears well positioned to utilize multiple distribution channels to engage the consumer,” Delly said.
Chief Executive Officer Craig Leavitt has set a goal of almost quadrupling Kate Spade's sales to $4 billion by expanding into fragrances, jewelry, watches and sunglasses in the mold of brands such as Ralph Lauren. Sales at the New York-based company rose 42 percent to $1.14 billion in the year through Jan. 3.
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The shares rose as much as 11 percent to $22.18 in New York, the biggest intraday gain since Jan. 29. Kate Spade had slid 38 percent this year through Wednesday.
By Kevin Orland; editor: Leslie Patton.
From analysis of the global fashion and beauty industries to career and personal advice, BoF’s founder and CEO, Imran Amed, will be answering your questions on Sunday, February 18, 2024 during London Fashion Week.
The State of Fashion 2024 breaks down the 10 themes that will define the industry in the year ahead.
Imran Amed reviews the most important fashion stories of the year and shares his predictions on what this means for the industry in 2024.
After three days of inspiring talks, guests closed out BoF’s gathering for big thinkers with a black tie gala followed by an intimate performance from Rita Ora — guest starring Billy Porter.