Luxury handbag maker Coach, Inc. (COH) on Tuesday received some bearish sentiment from analysts at Goldman Sachs.
The firm reinstated coverage on COH with a “Sell” rating and $58 price target, which suggests a small upside to the stock’s Monday closing price of $56.32.
A Goldman analyst noted the Sell rating reflects expectations of “relative underperformance we see for COH versus our broader group, and we do not see any absolute downside for shares from here.” The firm sees risk to the company’s market share, as other luxury brands present much better growth stories.
Coach shares posted small losses in premarket trading Tuesday.
The Bottom Line
Shares of Coach (COH) have a 2.13% dividend yield, based on last night’s closing stock price of $56.32. The stock has technical support in the $50-$53 price area. If the shares can firm up, we see overhead resistance around the $60-$61 price levels.
Coach, Inc. (COH) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.
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