Columbia Sportswear's Q2 revenue beats estimates; raises profit outlook
COLM•What drove the quarter
- Tariff refund - Q2 results were boosted by a $78 million U.S. tariff refund, which benefited gross margin and EPS.
- International growth - Sales growth in most international markets partly offset lower U.S. sales.
- Promotional activity - Increased promotions in U.S. direct-to-consumer stores hurt channel profitability.
Analyst view and valuation
The current average analyst rating on the shares is hold, with the following breakdown:
- 2 "strong buy" or "buy"
- 6 "hold"
- 1 "sell" or "strong sell"
The average consensus recommendation for the apparel & accessories peer group is buy. Wall Street's median 12-month price target for Columbia Sportswear Co. is $68.00, about 7% above its July 29 closing price of $63.56. The stock recently traded at next 12-month earnings, versus a P/E of three months ago.
