Q4 Earnings Highlights: VF Corp (NYSE:VFC) Vs The Rest Of The Apparel, Accessories and Luxury Goods Stocks

Looking back on apparel, accessories and luxury goods stocks' Q4 earnings, we examine this quarter's best and worst performers, including VF Corp (NYSE:VFC) and its peers.

Within apparel and accessories, not only do styles change more frequently today than decades past as fads travel through social media and the internet but consumers are also shifting the way they buy their goods, favoring omnichannel and e-commerce experiences. Some apparel, accessories, and luxury goods companies have made concerted efforts to adapt while those who are slower to move may fall behind.

The 16 apparel, accessories and luxury goods stocks we track reported a weaker Q4; on average, revenues missed analyst consensus estimates by 1.1%. while next quarter's revenue guidance was 4.2% below consensus. Stocks--especially those trading at higher multiples--had a strong end of 2023, but 2024 has seen periods of volatility. Mixed signals about inflation have led to uncertainty around rate cuts, and apparel, accessories and luxury goods stocks have had a rough stretch, with share prices down 8.9% on average since the previous earnings results.

Weakest Q4: VF Corp (NYSE:VFC)

Owner of The North Face, Vans, and Supreme, VF Corp (NYSE:VFC) is a clothing conglomerate specializing in branded lifestyle apparel, footwear, and accessories.

VF Corp reported revenues of $2.96 billion, down 16.2% year on year, falling short of analyst expectations by 8.9%. It was a weak quarter for the company, with a miss of analysts' revenue, operating margin, and EPS estimates. This underperformance was driven by declines at The North Face ($1.2 billion of revenue vs estimates of $1.3 billion) and Vans ($668 million of revenue vs estimates of $720 million).

Bracken Darrell, President and CEO, said: "Our third quarter top-line performance was disappointing. However, we are confident the actions we are implementing as part of Reinvent will enable VF to stabilize and then grow revenue and improve operational performance across brands and regions. We have already begun to see the impact of our efforts to right-size the company’s cost structure and improve its inventory position, resulting in stronger than expected cash flow and expanded gross margin in the quarter. This quarter marked the beginning of the next phase of our transformation plan: resetting the marketplace for Vans, reviewing our brand portfolio and continuing to build the organization of the future. As we approach the end of this fiscal year, my confidence in VF’s future is rising. "

VF Corp delivered the weakest performance against analyst estimates of the whole group. The stock is down 22.5% since the results and currently trades at $13.16.

Read our full report on VF Corp here, it's free.

Best Q4: Ralph Lauren (NYSE:RL)

Originally founded as a necktie company, Ralph Lauren (NYSE:RL) is an iconic American fashion brand known for its classic and sophisticated style.

Ralph Lauren reported revenues of $1.93 billion, up 5.6% year on year, outperforming analyst expectations by 3.4%. It was a very strong quarter for the company, with an impressive beat of analysts' constant currency revenue estimates and a solid beat of analysts' earnings estimates.

The stock is up 10.3% since the results and currently trades at $162.25.

Is now the time to buy Ralph Lauren? Access our full analysis of the earnings results here, it's free.

Hanesbrands (NYSE:HBI)

A classic American staple founded in 1901, Hanesbrands (NYSE: HBI) is a clothing company known for its array of basic apparel including innerwear and activewear.

Hanesbrands reported revenues of $1.30 billion, down 12% year on year, falling short of analyst expectations by 5%. It was a weak quarter for the company, with revenue guidance for next quarter missing analysts' expectations.

The stock is up 7.4% since the results and currently trades at $5.06.

Read our full analysis of Hanesbrands's results here.

Movado (NYSE:MOV)

With its watches displayed in 20 museums around the world, Movado (NYSE:MOV) is a watchmaking company with a portfolio of watch brands and accessories.

Movado reported revenues of $179.6 million, down 7.5% year on year, surpassing analyst expectations by 2.8%. It was a solid quarter for the company, with an impressive beat of analysts' earnings estimates and full-year revenue guidance exceeding analysts' expectations.

Movado scored the highest full-year guidance raise among its peers. The stock is down 1.4% since the results and currently trades at $26.16.

Read our full, actionable report on Movado here, it's free.

PVH (NYSE:PVH)

Founded in 1881 by a husband and wife duo, PVH (NYSE:PVH) is a global fashion conglomerate with iconic brands like Calvin Klein and Tommy Hilfiger.

PVH reported revenues of $2.49 billion, flat year on year, surpassing analyst expectations by 2.9%. It was a solid quarter for the company, with an impressive beat of analysts' revenue estimates.

The stock is down 22.4% since the results and currently trades at $108.38.

Read our full, actionable report on PVH here, it's free.

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