Columbia Sportswear Company (NASDAQ:COLM) seems to be better positioned than was earlier anticipated for the second half of 2022, according to Seaport Research Partners.
The Columbia Sportswear Analyst: Mitch Kummetz upgraded the rating for Columbia Sportswear from Neutral to Buy, while establishing a price target of $120.
The Columbia Sportswear Thesis: Given the favorable weather in January and its impact on the performance of Columbia and SOREL imply “a more favorable fall 2022 prebook outlook,” Kummetz said in the upgrade note.
Columbia Sportswear is set to report its fourth-quarter results after market close on Feb. 3. “Our view on the quarter hasn’t changed, as we’re still not anticipating a great 4Q21, given the warm December weather,” the analyst wrote.
Management is also expected to update their 2022 guidance, which currently reflects mid-teens percentage sales growth.
“The guidance didn’t contemplate much growth for 2H22. We now believe that fall 2022 orders are coming in nicely, and therefore, have more conviction in the company’s CY22 guidance and potential upside to that outlook,” Kummetz mentioned.
COLM Price Action: Shares of Columbia Sportswear had risen by 2.12% to $89 at the time of publication Friday.
