J. P. Morgan Securities lowered its rating and price target on PVH
PVH Corp (NYSE:PVH) stock is down 2% in premarket trading following a downgrade from J.P. Morgan Securities. The brokerage downgraded the fashion giant's rating to "neutral" from "overweight," and slashed the price target from $149 to $113.
Heading into today, PVH shares already carried an 8.9% year-to-date deficit. Despite this, five of the 14 covering brokerages maintain a "hold" rating. The equity's consensus target price of $126.31 represents a 31.1% premium to Thursday’s close, signaling the potential for bearish notes that could create additional headwinds.
Longer term, PVH stock is down 18.1% year over year and looking to open around the $94 mark, inching closer to its Jan. 16, 52-week low of $88.60. Plus, a ceiling could be forming at its 100-day moving average.
Options look to be an appealing strategy for investors. PVH'S Schaeffer's Volatility Index (SVI) of 33% ranks in the relatively low 20th percentile of the last 12 months. What's more, the security's Schaeffer's Volatility Scorecard (SVS) sits at a low 25 out of 100, making it a prime premium-selling candidate.