It's been a mediocre week for PVH Corp. (NYSE:PVH) shareholders, with the stock dropping 18% to US$79.92 in the week since its latest first-quarter results. The result was positive overall - although revenues of US$2.0b were in line with what the analysts predicted, PVH surprised by delivering a statutory profit of US$1.90 per share, modestly greater than expected. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.

Taking into account the latest results, PVH's 13 analysts currently expect revenues in 2027 to be US$8.92b, approximately in line with the last 12 months. Statutory earnings per share are predicted to soar 252% to US$12.07. Yet prior to the latest earnings, the analysts had been anticipated revenues of US$9.02b and earnings per share (EPS) of US$12.06 in 2027. The consensus analysts don't seem to have seen anything in these results that would have changed their view on the business, given there's been no major change to their estimates.

The consensus price target fell 6.8% to US$92.92, suggesting that the analysts might have been a bit enthusiastic in their previous valuation - or they were expecting the company to provide stronger guidance in the quarterly results. There's another way to think about price targets though, and that's to look at the range of price targets put forward by analysts, because a wide range of estimates could suggest a diverse view on possible outcomes for the business. The most optimistic PVH analyst has a price target of US$135 per share, while the most pessimistic values it at US$70.00. This is a fairly broad spread of estimates, suggesting that analysts are forecasting a wide range of possible outcomes for the business.

One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. We would highlight that revenue is expected to reverse, with a forecast 1.0% annualised decline to the end of 2027. That is a notable change from historical growth of 0.3% over the last five years. By contrast, our data suggests that other companies (with analyst coverage) in the same industry are forecast to see their revenue grow 5.4% annually for the foreseeable future. It's pretty clear that PVH's revenues are expected to perform substantially worse than the wider industry.

The Bottom Line

The most important thing to take away is that there's been no major change in sentiment, with the analysts reconfirming that the business is performing in line with their previous earnings per share estimates. Fortunately, the analysts also reconfirmed their revenue estimates, suggesting that it's tracking in line with expectations. Although our data does suggest that PVH's revenue is expected to perform worse than the wider industry. The consensus price target fell measurably, with the analysts seemingly not reassured by the latest results, leading to a lower estimate of PVH's future valuation.

With that in mind, we wouldn't be too quick to come to a conclusion on PVH. Long-term earnings power is much more important than next year's profits. We have forecasts for PVH going out to 2029, and you can see them free on our platform here.

Even so, be aware that PVH is showing 2 warning signs in our investment analysis , you should know about...

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.