PVH Stock Jumps 19% in 2025 on Strong Q4 Results and $500M Buyback Plan
PVH, the parent company of Calvin Klein and Tommy Hilfiger, surpasses profit and sales expectations with a promising outlook and announces a major stock repurchase program.
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Highlights
- PVH, owner of Calvin Klein and Tommy Hilfiger, exceeds profit and revenue forecasts thanks to its strategic growth plan.
- The company provides a stronger-than-anticipated outlook for the upcoming year.
- PVH initiates a $500 million accelerated stock repurchase program to enhance shareholder value.
Shares of PVH (PVH) surged 19% on Tuesday following the release of its impressive fourth-quarter earnings that outpaced analyst expectations, coupled with an optimistic future outlook and a significant stock buyback announcement. This surge reflects the success of PVH’s ongoing strategic initiatives.
In Q4, PVH reported adjusted earnings per share (EPS) of $3.27, beating projections, despite a 5% year-over-year revenue decline to $2.37 billion. Both figures outperformed Visible Alpha analyst estimates.
Revenue for flagship brands showed mixed results: Tommy Hilfiger sales decreased by 5% to $1.28 billion, while Calvin Klein’s revenue dipped 2% to $1.06 billion.
CEO Highlights Effective Execution of PVH+ Strategy
CEO Stefan Larsson credited the strong performance to sustained consumer demand for the iconic brands and the disciplined implementation of the PVH+ strategic plan. CFO Zac Coughlin emphasized that the company has advanced its PVH+ Plan to enhance sales quality, improve gross margins, and boost operational cash flow. This long-term strategy, launched three years ago, continues to drive value creation.
Looking ahead, PVH projects full-year adjusted EPS between $12.40 and $12.75, with revenues expected to remain stable or slightly increase in 2025. These projections surpass Visible Alpha’s consensus estimates of $11.47 EPS and a slight revenue decline of 0.7%.
Additionally, PVH announced plans to execute accelerated share repurchase agreements totaling $500 million with one or more financial dealers, reinforcing its commitment to returning capital to shareholders.
Despite the recent rally, PVH shares have declined approximately 45% over the past year, including a 28% drop since the beginning of 2025.
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