Canada Goose (GOOS) Stock Drops Despite Market Gains: Important Facts to Note

In the latest close session, Canada Goose (GOOS) was down 3.92% at $10.55. This change lagged the S&P 500's 0.11% gain on the day. Meanwhile, the Dow experienced a drop of 0.13%, and the technology-dominated Nasdaq saw an increase of 0.18%.

Coming into today, shares of the high-end coat maker had lost 6.95% in the past month. In that same time, the Retail-Wholesale sector lost 3.81%, while the S&P 500 lost 4.28%.

The investment community will be paying close attention to the earnings performance of Canada Goose in its upcoming release. The company is expected to report EPS of $0.27, up 17.39% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $296.3 million, up 10.6% from the year-ago period.

For the annual period, the Zacks Consensus Estimates anticipate earnings of $0.58 per share and a revenue of $1.09 billion, signifying shifts of -27.5% and +11.95%, respectively, from the last year.

Investors might also notice recent changes to analyst estimates for Canada Goose. Recent revisions tend to reflect the latest near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. Canada Goose presently features a Zacks Rank of #4 (Sell).

Valuation is also important, so investors should note that Canada Goose has a Forward P/E ratio of 15.25 right now. This represents a discount compared to its industry average Forward P/E of 15.92.

The Retail - Apparel and Shoes industry is part of the Retail-Wholesale sector. This industry, currently bearing a Zacks Industry Rank of 60, finds itself in the top 25% echelons of all 250+ industries.

The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.

Research Chief Names "Single Best Pick to Double"

From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.

This company targets millennial and Gen Z audiences, generating nearly $1 billion in revenue last quarter alone. A recent pullback makes now an ideal time to jump aboard. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.

Free: See Our Top Stock And 4 Runners Up

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Canada Goose Holdings Inc. (GOOS): Free Stock Analysis Report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research