Why Movado Stock Got Thrashed on Thursday

Many of Movado Group's (NYSE: MOV) goods are quite attractive, but the company's stock wasn't looking too pretty on Thursday. On the back of dispiriting quarterly results, investors peeled away from the stock, leaving it nearly 15% down in price at market close. The benchmark S 500 index did much better by comparison, "only" shedding 0.3% during the session.

Movado's second quarter of fiscal 2025 saw the watch and fashion conglomerate post net sales of $159.3 million, down slightly from the $160.4 million of the same quarter the previous year. Net income according to GAAP standards fell much more precipitously, to $3.7 million ($0.16 per share) against Q2 2024's more than $8 million.

Movado is not a stock closely followed by analysts, so consensus estimates were not available. The company did not meet its own expectations during the period; it quoted CEO Efraim Grinberg as saying that this was "due to the challenging consumer spending environment compounded by increased expenses to support future growth."

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Source Fool.com