Group 1 - Birkenstock reported first-quarter preliminary revenue below Wall Street expectations [1] - Consumer spending on non-essential items has become more cautious due to rising economic uncertainty [1]

Core Insights - Birkenstock Holding plc expects fiscal first quarter 2026 revenue of €402 million, reflecting an 11.1% year-over-year growth on a reported basis and 17.8% in constant currency, primarily influenced by the depreciation of the US Dollar against the Euro [1] Financial Performance - The company will report its full fiscal first quarter financial results on February 12, 2026, before the US market opens, followed by a conference call and live webcast at 8:00 a.m. Eastern Time [2] Company Overview - Birkenstock Holding plc is the parent company of Birkenstock Group B.V. & Co. KG, committed to promoting proper foot health and rooted in a shoemaking tradition dating back to 1774, offering a range of products from footwear to natural cosmetics [3]

Group 1 - Deutsche Bank has resumed coverage of key stocks in the global brand, discount retail, and professional beauty sectors, expressing optimism as it enters 2026, anticipating a "risk-on" macro environment despite potential fluctuations [1] - Analyst Christina Katay noted that the revenue trend in the first half of the year will remain robust due to favorable weather conditions and increased tax refunds, which are seen as drivers for same-store sales growth [1] - The bank estimates that the "Great Beauty Act" will increase tax refunds by approximately $55 billion, with total tax refunds in 2024 projected at $461 billion [1] Group 2 - The expected tax refunds will primarily benefit low- to middle-income consumers facing cost-of-living challenges, while affluent households are anticipated to benefit from increased state and local tax (SALT) deductions [2] - Deutsche Bank has assigned a "Buy" rating to stocks including Amphenol (AS.US), Birkenstock (BIRK.US), Ulta Beauty (ULTA.US), Ralph Lauren (RL.US), Ross Stores (ROST.US), and TJX Companies (TJX.US) [2] - The bank holds a more conservative view on stocks such as Bath & Body Works (BBWI.US), Burlington Stores (BURL.US), Nike (NKE.US), and Lululemon (LULU.US), assigning them a "Hold" rating [2]

Birkenstock Holding plc (NYSE:BIRK) is one of the best strong buy stocks to invest in right now. Bernstein cut the price target on Birkenstock Holding plc (NYSE:BIRK) to $55 from $63 on December 30, keeping a Market Perform rating on the shares and telling investors that the company may experience “significant headwinds” in fiscal 2026. It explained that Birkenstock Holding plc (NYSE:BIRK) has guided gross margin headwinds of 200 basis points, which effectively halves the earnings contribution of any sales ...

Core Insights - The company reported a 16% revenue growth in constant currency for the third quarter, achieving double-digit growth across all segments and channels while improving profitability with a gross margin of 60.5% and an EBITDA margin of 34.4% [1][11][14] - The shift towards in-person shopping has positively impacted the brand, particularly in the B2B channel, which has outpaced DTC growth [5][12][32] Financial Performance - Third quarter revenues reached EUR 635 million, with a reported revenue growth of 12% impacted by foreign exchange fluctuations [11][12] - B2B revenue grew 18% in constant currency, while DTC grew 12%, with DTC's share of business decreasing to 38% [12][14] - Adjusted net profit for the quarter was EUR 116 million, reflecting a 26% year-over-year increase, and adjusted EPS rose to EUR 0.62, up from EUR 0.49 [14] Market Dynamics - Retail revenue at the top 10 wholesale partners in the U.S. increased by 25%, while EMEA saw a 20% increase, indicating strong sell-through and inventory turnover [5][8] - The company opened 13 new retail stores, aiming for a total of around 100 by the end of the fiscal year, which is expected to enhance DTC performance [6][9] Product Demand - Demand for classic leather silhouettes and iconic styles like Arizona and Boston remains strong, with closed-toe revenue share increasing by 400 basis points year-over-year [7][12] - The company anticipates that the APAC region will grow twice as fast as other segments for the full year, with a 24% revenue increase in constant currency [9][10] Strategic Initiatives - The company is focused on maintaining relative scarcity in distribution and has implemented price increases to manage the impact of tariffs, with no negative market response observed [17][30] - Investments in production capacity and efficiency improvements are ongoing, with a CapEx target of around EUR 80 million for the year [16][47] Future Outlook - The company expects to achieve the high end of its constant currency revenue growth guidance of 15% to 17% for the fiscal year, despite anticipated currency headwinds [19][20] - The management remains confident in sustaining long-term growth and profitability objectives, with a net leverage target of approximately 1.5x by the end of fiscal '25 [16][17]

Oliver Reichert: Good morning, everybody, and thank you for joining today's call. It was great seeing many of you in June during our most recent roadshow. We thank you for your love for the brand and kind support. We are happy to be here today to discuss another exceptional record setting quarter for our company. We achieved the highest quarterly revenue in our history. This was driven by the unbreakable and growing demand for our products across all segments, channels and categories. As promised during our ...

We will also reference certain non-IFRS financial information. We use non-IFRS measures as we believe they represent the operational performance and underlying results of our business more accurately. The presentation of this non-IFRS financial information is not intended to be considered by itself or as a substitute for the financial information prepared and presented in accordance with IFRS. Reconciliations of the IFRS to non-IFRS measures can be found in this morning's press release and in our SEC filing ...

I wrote about Birkenstock Holding ( BIRK ) previously with a buy rating, as the fundamentals were solid. The business is seeing broad-based strength, solid DTC, and demand momentum. The core demand story has not weakened, but growthI am an individual investor that is now fully focus on managing my own capital that I have saved up over the years. My investing background spreads across a wide spectrum as I believe there are merits to each approach, for instance: Fundamental investing [Bottoms-up etc.], Techni ...

Upgrades - Keefe Bruyette upgraded Bain Capital Specialty Finance (BCSF) to Outperform from Market Perform with an unchanged price target of $16, citing attractive entry point for shares [2] - JPMorgan upgraded Paccar (PCAR) to Overweight from Neutral with a price target of $133, increased from $108, due to offsetting tariff-related headwinds following the latest Section 232 proclamation [3] - Wells Fargo upgraded Generac (GNRC) to Overweight from Equal Weight with a price target of $195, up from $186, highlighting a "near-free call option" on data center growth after recent share pullback [4] - Barclays upgraded Cummins (CMI) to Overweight from Equal Weight with a price target of $546, increased from $515, reflecting new emissions rules and reduced R&D expenses [5] - Citizens upgraded Stryker (SYK) to Outperform from Market Perform with a price target of $440, citing reasonable valuation at current share levels [5] Downgrades - Wedbush downgraded Lyft (LYFT) to Underperform from Neutral with a price target of $16, down from $20, due to risks from autonomous vehicle disruption in the U.S. ridesharing market [6] - JPMorgan downgraded Lockheed Martin (LMT) to Neutral from Overweight with a price target of $515, up from $465, based on out-year cash flow estimates being below consensus [6] - Raymond James downgraded Allegiant Travel (ALGT) to Outperform from Strong Buy with a price target of $98, up from $78, citing valuation concerns after recent share strength [6] - Deutsche Bank downgraded Elevance Health (ELV) to Hold from Buy with a price target of $320, down from $332, due to reduced estimates and challenging macro environment [6] - Williams Trading downgraded Birkenstock (BIRK) to Hold from Buy with a price target of $51, down from $75, following earnings report and lack of clarity from management [6]

Stifel Nicolaus sets a price target of $58 for Birkenstock Holding plc (NYSE:BIRK), indicating a potential upside of about 41%.BIRK's stock has experienced a decrease of 11.34%, reflecting market reactions or broader conditions.The company's recent Q4 2025 earnings call and strategic initiatives are key factors influencing the stock's future performance.Birkenstock Holding plc, trading under the symbol BIRK on the NYSE, is a well-known footwear company. It is recognized for its iconic sandals and has a stro ...