Buckingham Capital Loads Up On Its Top Consumer Stock Picks

#3. Foot Locker, Inc. (NYSE:FL)

– Shares Owned by Buckingham Capital Management (as of June 30): 492,910

– Value of Holding (as of June  30): $27.04 Million

Like Signet Jewelers Ltd., Foot Locker, Inc. (NYSE:FL)’s stock also dropped significantly during the second quarter, by almost 15%. However, owing to Buckingham Capital increasing its stake in the company by 26% during the period, Foot Locker, Inc. (NYSE:FL) jumped two spots to become the fund’s third-most valuable equity holding as of the end of June. Several analysts who track Foot Locker think that the decline the stock has seen this year has made it a bargain, as it currently trades at a significant discount to its historical valuation. Though most analysts contend that the company can’t continue to grow organically at the same pace as it has in the past, they believe that it can still post better than expected financial results going forward and that the stock could sail pass the $70 level without much resistance if so. Shares currently trade at $61.18. On August 12, analysts at B. Riley upgraded the stock to ‘Buy’ from ‘Neutral’ while keeping their price target on it unchanged at $75. George Hall‘s Clinton Group also boosted its stake in the company during the second quarter, by 163% to 181,854 shares.

#2. PVH Corp (NYSE:PVH)

– Shares Owned by Buckingham Capital Management (as of June 30): 317,980

– Value of Holding (as of June  30): $29.96 Million

Moving on, Buckingham Capital upped its PVH Corp (NYSE:PVH) holding by 15% during the June quarter. PVH Corp’s stock lost almost 40% of its value during the final four months of 2015. However, it has recouped a large amount of those losses this year and is currently trading up by 43.14% year-to-date. In June, the company announced an offering of €350 million ($391.77 million) worth of senior notes due 2024. PVH Corp plans to use the proceeds from the offering for “general corporate purposes and to pay related transaction fees and expenses.” Barely a few days after that announcement, PVH Corp (NYSE:PVH) CEO Manny Chirico revealed at the Piper Jaffray Consumer Conference that sales at the company’s department stores were trending “slightly better” in Q2. The owner of the Tommy Hilfiger and Calvin Klein brands will announce its second quarter results on August 25. PVH Corp currently sports an average rating of ‘Overweight’ and an average price target of $107.18 from the 17 leading analysts on Wall Street who track it.

#1. G-III Apparel Group, Ltd. (NASDAQ:GIII)

– Shares Owned by Buckingham Capital Management (as of June 30): 763,624

– Value of Holding (as of June  30): $34.91 Million

Its G-III Apparel Group, Ltd. (NASDAQ:GIII) holding stands as one of the oldest in Buckingham Capital’s portfolio. During the second quarter the fund increased its stake in the company by 26%, elevating the holding to the top of its portfolio. Last month, the company revealed that it has agreed to acquire the Donna Karan brand from Louis Vuitton in a deal worth $650 million following which G-III Apparel Group’s stock slumped hard. Owing partially to that decline, the stock is currently trading down by 2.68% year-to-date. The current consensus on the Street is for G-III Apparel Group, Ltd. (NASDAQ:GIII) to report second quarter EPS of $0.18 on revenue of $484.85 million, compared to EPS of $0.27 on revenue of $474 million a year earlier. On July 26, analysts at Brean Capital reiterated their ‘Buy’ rating and $51 price target on the stock, which represents potential upside of 16%. Larry Foley and Paul Farrell’s Bronson Point Partners initiated a stake in the company during the second quarter, purchasing 176,500 shares.

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