Is Now a Good Time to Buy Capri Holdings Stock?
One of the biggest ways companies compete with one another is through product innovation. Corporations are able to invest profits back into the business in the form of increased hiring, new marketing campaigns, and more research and development. All these efforts represent different strategies that companies employ to breed new products and services.
However, from time to time, companies may make strategic investments in similar businesses or outright acquire them. One of the sectors experiencing the most consolidation right now is luxury retail. In early August, Capri Holdings (NYSE: CPRI) received a takeover bid from fashion rival Tapestry (NYSE: TPR). Given the deal has not yet closed, this could be an interesting opportunity to scoop up some shares in Capri Holdings. Let's dig into why.
Capri Holdings is the home of iconic brands such as Versace, Michael Kors, and Jimmy Choo. While some investors may view the deal as an indicator that Capri's business is struggling, I see something different.
Source Fool.com
