PVH Corp.
PVH
$86.92
+3.56%
PVH Corp. designs and markets branded apparel in more than 40 countries, with key fashion categories including men's dress shirts, sportswear, underwear, and jeans, operating through its two powerhouse brands, Calvin Klein and Tommy Hilfiger. As a global apparel manufacturer and retailer, PVH distinguishes itself by owning two of the most recognizable designer brands, generating virtually all revenue from these labels after divesting smaller brands, and operating a multi-channel model of e-commerce, stand-alone stores, and wholesale distribution. The current investor narrative centers on PVH's turnaround story, with recent Q1 2026 earnings showing a return to profitability (EPS of $1.92 vs. a loss a year ago) and revenue growth of 2.1% year-over-year, though a weak Q2 outlook tied to geopolitical tensions in the EMEA region has sparked debate about the sustainability of the recovery.…
PVH
PVH Corp.
$86.92
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PVH 12-Month Price Forecast
Wall Street consensus
Most Wall Street analysts maintain a constructive view on PVH Corp.'s 12-month outlook, with a consensus price target around $90.67 and implied upside of +4.3% versus the current price.
Average Target
$90.67
0 analysts
Implied Upside
+4.3%
vs. current price
Analyst Count
—
covering this stock
Price Range
$70 - $128
Analyst target range
PVH is covered by 12 analysts, with a consensus recommendation of 'Buy' (mean rating 2.23 on a 1-5 scale where 1 is Strong Buy). The average target price is $90.67, implying approximately +15.3% upside from the current price of $78.67. The distribution leans bullish, with recent actions from BTIG, Goldman Sachs, UBS, and Needham reiterating Buy ratings, while B of A Securities downgraded to Underperform from Neutral on June 25, 2026. The target price range spans from a low of $70.00 to a high of $128.00. The high target of $128.00 assumes a successful turnaround with margin expansion and revenue acceleration, potentially driven by Calvin Klein and Tommy Hilfiger strength. The low target of $70.00 prices in continued geopolitical headwinds in EMEA and potential margin compression. The wide spread ($58) indicates high uncertainty among analysts, though the recent downgrade by B of A and downgrade by Evercore ISI from Outperform to In Line suggest some caution. The consensus remains bullish, but the divergence in targets highlights the binary nature of the investment thesis.
Bulls vs Bears: PVH Investment Factors
PVH presents a compelling turnaround story with a return to profitability, strong free cash flow generation, and a deeply discounted forward P/E of 6.31x. However, the weak Q2 outlook due to geopolitical tensions in EMEA and the extremely high trailing P/E of 118.49x introduce significant uncertainty. The bull case rests on the successful execution of the turnaround and earnings recovery, while the bear case centers on persistent headwinds in key markets. The single most important tension is whether PVH can sustain its revenue growth and margin improvement amid geopolitical risks, as this will determine if the forward P/E discount is justified or if the stock faces further de-rating.
Bullish
- Return to Profitability: PVH reported Q1 2026 net income of $88 million (EPS $1.92) versus a net loss of $44.8 million in Q1 2025, marking a significant turnaround. This demonstrates the company's ability to restore profitability after a challenging period.
- Deeply Discounted Forward P/E: The forward P/E of 6.31x is a deep discount to the industry average and the stock's own history, implying the market is pricing in a sharp earnings recovery. With estimated EPS of $16.45, the stock offers substantial upside if earnings materialize.
- Strong Free Cash Flow Generation: Trailing twelve-month free cash flow is $550.5 million, indicating robust cash generation despite negative FCF in Q1 2026. This provides financial flexibility for debt reduction, share buybacks, or reinvestment.
- Analyst Consensus Buy Rating: The consensus recommendation is Buy (mean rating 2.23 on a 1-5 scale) with an average target price of $90.67, implying +15.3% upside from the current price of $78.67. The high target of $128.00 suggests potential for significant gains.
Bearish
- Weak Q2 Outlook and Geopolitical Risks: PVH's Q2 outlook was weak due to geopolitical tensions in the EMEA region, which is a crucial business segment. This caused the stock to plunge on June 4, 2026, and raises concerns about the sustainability of the recovery.
- Extremely High Trailing P/E: The trailing P/E of 118.49x is extremely high, reflecting depressed earnings. If the anticipated earnings recovery fails to materialize, the stock could face significant de-rating and downside.
- Recent Analyst Downgrades: B of A Securities downgraded PVH to Underperform from Neutral on June 25, 2026, and Evercore ISI downgraded from Outperform to In Line. These downgrades signal growing caution among analysts.
- Negative Free Cash Flow in Q1 2026: Free cash flow was negative $86 million in Q1 2026, which could pressure liquidity if the trend continues. This is a concern given the company's debt-to-equity ratio of 0.90.
PVH Technical Analysis
PVH is in a recovery uptrend from its 52-week low of $59.60, with the stock currently trading at $78.67, representing 78.1% of its 52-week range (high of $100.75). The 1-year price change of +11.43% indicates a positive long-term trend, but the stock remains well below its highs, suggesting room for further upside if momentum builds. The current price near the midpoint of the range reflects a balanced market, not overbought nor oversold. Short-term momentum is negative, with a 1-month change of -5.51% and a 3-month change of -12.07%, conflicting with the positive 1-year trend. This divergence signals a pullback within a longer-term uptrend, potentially a mean-reversion opportunity if the stock stabilizes. The 1-month relative strength vs. SPY is -6.11%, indicating underperformance. The stock's beta of 1.751 implies 75% more volatility than the S&P 500, meaning larger swings in both directions. Key support is the 52-week low at $59.60; a break below would signal a trend reversal. Resistance is the 52-week high at $100.75; a breakout above would confirm a strong uptrend. The recent decline from the June high of $98.00 to $78.67 represents a 19.7% drop, testing support near the $76 area.
Beta
1.75
1.75x market volatility
Max Drawdown
-32.0%
Largest decline past year
52-Week Range
$60-$101
Price range past year
Annual Return
+13.0%
Cumulative gain past year
| Period | PVH Return | S&P 500 |
|---|---|---|
| 1m | +16.9% | +1.6% |
| 3m | -4.5% | +4.1% |
| 6m | +39.8% | +6.8% |
| 1y | +13.0% | +16.3% |
| ytd | +28.2% | +8.6% |
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PVH Fundamental Analysis
Revenue in Q1 2026 (ending May 3, 2026) was $2.025 billion, up 2.09% year-over-year from $1.984 billion in Q1 2025, marking a return to growth after a prior-year decline. However, the multi-quarter trend shows uneven performance: Q4 2025 revenue was $2.505 billion (down from $2.372 billion in Q4 2024), and Q3 2025 revenue was $2.294 billion (up from $2.255 billion in Q3 2024). The growth is driven by product revenue of $2.257 billion and royalty income of $94.4 million, but the weak Q2 outlook suggests potential deceleration. PVH returned to profitability in Q1 2026 with net income of $88 million (EPS $1.92) versus a net loss of $44.8 million in Q1 2025. Gross margin improved to 58.57% from 58.58% a year ago, while operating margin was 5.86% (down from 7.92% in Q1 2025). Net margin was 4.35%, a significant improvement from -2.26% in the prior-year quarter. The company's balance sheet shows a debt-to-equity ratio of 0.90, manageable but elevated. Free cash flow was negative $86 million in Q1 2026, but trailing twelve-month FCF is $550.5 million, indicating strong cash generation over the past year. The current ratio of 1.52 suggests adequate liquidity, and ROE of 0.53% is low but improving from negative levels.
Quarterly Revenue
$2.0B
2026-05
Revenue YoY Growth
+2.1%
YoY Comparison
Gross Margin
58.6%
Latest Quarter
Free Cash Flow
$550500000.0B
Last 12 Months
Revenue & Net Income Trends (2 Years)
Revenue Breakdown
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Valuation Analysis: Is PVH Overvalued?
Since net income is positive (TTM net income of $88 million in Q1 2026), the primary valuation metric is the P/E ratio. The trailing P/E is 118.49x, while the forward P/E is 6.31x, a massive gap that implies the market expects a sharp earnings recovery. The forward P/E is based on estimated EPS of $16.45, which would represent a dramatic rebound from the depressed trailing earnings. Compared to the industry average (Apparel - Manufacturers), PVH's trailing P/E of 118.49x is extremely high, but the forward P/E of 6.31x is a deep discount, suggesting the market is pricing in normalized earnings. The price-to-sales ratio of 0.33x is low, indicating the stock is cheap on a sales basis. Historically, PVH's trailing P/E has ranged from single digits to over 100x; the current trailing multiple is near the top of its historical band due to depressed earnings, while the forward multiple is near the bottom, reflecting the anticipated earnings recovery. The PEG ratio of -1.25 is negative due to negative earnings growth in the past, but forward growth expectations are positive.
PE
118.5x
Latest Quarter
vs. Historical
High-End
5-Year PE Range 4x~15x
vs. Industry Avg
N/A
Industry PE ~N/A*
EV/EBITDA
12.7x
Enterprise Value Multiple
Investment Risk Disclosure
Financial & Operational Risks: PVH's debt-to-equity ratio of 0.90 is manageable but elevated, and the company reported negative free cash flow of $86 million in Q1 2026, which could strain liquidity if the trend persists. The trailing P/E of 118.49x is extremely high, making the stock vulnerable to sharp declines if earnings disappoint. Additionally, the operating margin declined to 5.86% in Q1 2026 from 7.92% a year ago, indicating margin pressure that could weigh on profitability.
Market & Competitive Risks: PVH's beta of 1.751 implies 75% more volatility than the S&P 500, making it highly sensitive to macro shocks and sector rotation. The stock has underperformed the S&P 500 by 9.49% over the past year, and the recent downgrade by B of A Securities highlights growing caution. Geopolitical tensions in the EMEA region pose a direct threat to a key revenue segment, and the weak Q2 outlook suggests these headwinds may persist.
Worst-Case Scenario: If geopolitical tensions escalate further, causing sustained revenue declines in EMEA and margin compression, PVH could see its stock fall to the 52-week low of $59.60, representing a potential loss of 24.2% from the current price of $78.67. In a severe downturn, the stock could approach the analyst low target of $70.00, implying a 11.0% decline. The historical max drawdown of 32% suggests that losses could be even deeper in a prolonged bear case.