Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, luxury handbag maker Coach (NYSE: COH ) has earned a respected four-star ranking.
With that in mind, let's take a closer look at Coach's business and see what CAPS investors are saying about the stock right now.
Coach facts
| |
|
| Headquarters (Founded) |
New York (1941) |
| Market Cap |
$17.2 billion |
| Industry |
Apparel and luxury goods |
| Trailing-12-Month Revenue |
$4.3 billion |
| Management |
Chairman/CEO Lew Frankfort
CFO Jane Nielsen |
| Return on Equity (Average, Past 3 Years) |
45.9% |
| Cash/Debt |
$848 million / $30.2 million |
| Dividend Yield |
1.5% |
| Competitors |
Polo Ralph Lauren (NYSE: RL )
Talbots (NYSE: TLB )
Tiffany (NYSE: TIF ) |
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 93% of the 2,357 members who have rated Coach believe the stock will outperform the S&P 500 going forward. These bulls include ajbakerjr and TauLepton.
Earlier this year, ajbakerjr highlighted Coach as a stock worth carrying:
One of the premier retailers in the world, with products that manage to remain among the "must haves" on wish lists everywhere in good economic times and bad. Plus, with the burgeoning middle class populations around the world, their growth prospects extend far beyond the US.
Over the past five years, in fact, Coach has grown its top-line at a solid rate of 15% annually. That's faster than competitors like Polo Ralph Lauren (9%) and Tiffany (8%), let alone Talbots and its average revenue decline of -11%.
CAPS member TauLepton expands on the outperform argument:
Regardless of the current downed economy, luxury goods make us feel good about ourselves. Those that can afford this brand will continue to buy. Those that can't will still dream of the day that they will be able to buy. Coach is solidly run, effectively marketed and produces a solid product.
What do you think about Coach, or any other stock for that matter? If you want to retire rich, you need to put together the best portfolio you can. Owning exceptional stocks is a surefire way to secure your financial future, and on Motley Fool CAPS, thousands of investors are working every day to find them. CAPS is 100% free, so get started!
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