BTIG initiates PVH Corp stock with Buy rating on growth prospects

Investing.com - BTIG initiated coverage on PVH Corp (NYSE:PVH) with a Buy rating and a $100.00 price target on Tuesday. According to InvestingPro data, PVH currently maintains a "GOOD" overall financial health score, with the stock showing signs of being undervalued based on comprehensive Fair Value analysis.

The research firm cited attractive top-line growth opportunities and margin-expansion potential for the apparel company, known for brands like Calvin Klein and Tommy Hilfiger. The company demonstrates solid profitability with a gross margin of 58.2% and has maintained dividend payments for 55 consecutive years, as highlighted in InvestingPro’s extensive analysis (unlock 3 more ProTips with InvestingPro).

BTIG expressed optimism about PVH’s potential to return to high-single-digit top-line growth in Europe, historically a strong market for the company. The firm noted encouragement from PVH’s spring 2026 order book in Europe, which is up low single digits versus last year.

In North America, BTIG highlighted the relaunch of women’s sportswear and jeans business at U.S. wholesale following PVH’s takeback of licenses from G-III (NASDAQ:GIII). The company has already launched Calvin Klein women’s sportswear in over 150 Macy’s (NYSE:M) doors, accompanied by a marketing campaign.

PVH will take back its Tommy sportswear license in Spring 2026 and has agreed to a new licensing agreement for men’s and women’s outerwear, also expected to launch in Spring 2026, according to BTIG.

In other recent news, PVH Corp reported strong financial results for the second quarter of 2025, exceeding Wall Street expectations. The company announced earnings per share of $2.52, outperforming the forecasted $2.00, and revenue reached $2.17 billion, above the anticipated $2.12 billion. This performance marks a notable earnings and revenue surprise for the company. Additionally, UBS raised its price target for PVH to $148, citing the company’s brand strength and solid balance sheet as drivers for future earnings growth. Jefferies also increased its price target to $95, highlighting PVH’s solid second-quarter results and consistent full-year earnings guidance. In another development, PVH appointed Patricia Gabriel as Chief Supply Chain Officer and Global Head of Operations, succeeding David Savman. Gabriel will begin her role in the fourth quarter and report to CEO Stefan Larsson. These developments reflect PVH’s strategic efforts to strengthen its operations and financial performance.

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