GOOS - Canada Goose: Feathers Intact And Setting The Stage For Future Growth
2024-05-20 14:13:11 ET
Summary
- Canada Goose has seen mixed results, recently, with a robust rebound in growth but flat adjusted EBIT versus last year and a modest near-term outlook.
- It has strong brand awareness and room to grow its retail store footprint and to further broaden its product line into other seasons and categories.
- A renewed focus on operational efficiency should temper expectations for near-term growth, but could help to establish a stronger foundation for growth beyond 2025.
- Its valuation is not expensive and helps to offset risks inherent in the investment case.
Investment Thesis
Canada Goose Holdings Inc. ( GOOS )(GOOS:CA) is a performance luxury retailer most well-known for its pricey winter parkas. It has developed strong brand awareness, grown revenues roughly 60% over five years , and achieved a decent level of profitability (with a roughly ~18x P/E multiple on an adjusted basis)....
Canada Goose: Feathers Intact And Setting The Stage For Future Growth