Earnings Preview: Coach's EPS, Revenue Expected to Rise

Coach COH unveils its next round of earnings this Tuesday, October 25, 2011. Here is Benzinga's everything-that-matters guide for this Tuesday's first quarter earnings announcement.

Earnings and Revenue:

Analysts are predicting an EPS reading of 70 cents/share and revenues of $1.02 billion. Coach's latest numbers will no doubt be compared with the company's year-ago quarter, when it reported a profit of 63 cents/share on revenues of $911.7 million. We'll have to wait for Tuesday to see if Coach falls in line with analyst expectations and reports an estimated increase in both EPS and revenue from the year-ago quarter.

Here's how the company's reported EPS has stacked up against analyst estimates in the past:

Quarter	Q4	Q3	Q2	Q1
EPS Estimate	$0.65	$0.60	$0.97	$0.55
EPS Actual	$0.68	$0.62	$1.00	$0.63

Stock Performance:

Shares of Coach were trading at $62.66 as of October 24, 2011. Shares are up 14.5% year to date. For a full 12 months, the return has risen by 36.2%. Given that these returns are generally positive, long-term shareholders are probably satisfied going into this earnings release.

• Long-term shareholders are already enjoying 12-month gains prior to the announcement

Average Stock Rating:

The average rating by analysts for Coach is a Moderate Buy. The strength of this rating has declined slightly over the past three months.

Competitors:

Looking for a sympathy stock to trade or interested in the performance of other companies in the same sector? Take a look at some of Coach's peers.

• Fossil FOSL: Moderate Buy with a $0.80 recent quarter EPS
• Guess GES: Moderate Buy with a $0.84 recent quarter EPS
• Liz Claiborne LIZ: Hold with a -$0.34 recent quarter EPS

Coach is in the textile-apparel industry, which has experienced price/earnings growth of 0.8%.

Finally, a description of the company's main areas of operation: Coach is an American marketer of accessories and gifts, including handbags, footwear, sunwear, travel bags, business cases, jewelry, clothing, fragrance, and watches.

Take Action:

Now that you're fully prepared, get ready to take quick action if the company reports any numbers significantly different from those listed above. Also, check back in with us after the announcement for a full recap and what-to-do-next guide.

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