PVH (PVH) Proved Its Power to Deliver Strong Long-Term EPS

Core Insights - Longleaf Partners Fund reported a return of -0.33% in Q3 2025, underperforming the S&P 500's 8.12% and Russell 1000 Value's 5.33% [1] - The fund focuses on investments in real assets and brands that generate growing free cash flow (FCF) per share, with expectations of an increase in FCF multiple from ~10x to the mid-teens [1] Company Performance - PVH Corp. (NYSE:PVH) experienced a one-month return of -0.68% and a 52-week decline of 7.58%, closing at $86.66 per share with a market capitalization of $4.17 billion on October 23, 2025 [2] - Despite volatility in quarterly earnings, PVH Corp. maintains a long-run earnings per share potential of over $10, with recovery in the Calvin Klein brand and significant share repurchases [3] Market Sentiment - PVH Corp. is not among the top 30 most popular stocks among hedge funds, with 33 hedge fund portfolios holding the stock at the end of Q2 2025, a slight decrease from 35 in the previous quarter [4] - While acknowledging PVH's investment potential, there is a belief that certain AI stocks present greater upside potential and lower downside risk [4]