Baird upgrades Canada Goose stock rating to Outperform on brand momentum

Investing.com - Baird upgraded Canada Goose (NYSE:GOOS) (TSX:GOOS) stock rating from Neutral to Outperform on Tuesday, while raising its price target to C$24.00 from C$18.00. According to InvestingPro data, the stock is currently trading below its Fair Value, suggesting potential upside opportunity.

The research firm cited improved fundamental performance for Canada Goose over the past several quarters as a key factor in its upgraded outlook for the luxury outerwear manufacturer.

Baird expressed confidence that continued brand momentum during seasonally important revenue quarters could help the business demonstrate greater margin leverage going forward.

The stock has recovered from previous lows but remains 24% below its 52-week highs, according to Baird’s analysis. The firm highlighted the combination of low earnings expectations and low valuation, with Canada Goose trading at just 6.9 times next-twelve-months EV/EBITDA.

Baird also noted that these factors could potentially attract interest from strategic or financial buyers, while acknowledging that concentrated voting rights held by Bain Capital and CEO Dani Reiss represent key unknown variables in any such scenario.

In other recent news, Canada Goose Holdings Inc. reported its first-quarter earnings for 2025, showcasing a notable revenue growth that exceeded expectations. The company generated $108 million in revenue, surpassing the forecast by 63.18%. Despite this impressive revenue performance, Canada Goose’s earnings per share (EPS) fell short of analysts’ projections. In another update, the shareholders of Canada Goose approved all proposed director nominees during the company’s annual meeting. This meeting, held on August 8, 2025, resulted in the election of all ten nominees listed in the management information circular dated June 18, 2025. These developments reflect ongoing changes and updates within the company.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.