The firm increased its price target on the luxury goods retailer to $47 from $42 citing upside risk, TheFly reports.
Coach has stabilized its core business and could see long-term earnings power based upon possible acquisitions, Credit Suisse noted, according to TheFly.
"We believe there is compelling opportunity for a long-term acquisition narrative to not only drive earnings power, but also help Coach develop into an American luxury brand house, creating a diverse portfolio to help mitigate specific category risk long-term," the firm added in an analyst note, MarketWatch reports.
In 2015, Coach purchased Stuart Weitzman Holdings LLC for $530 million in cash.
Separately, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author. TheStreet Ratings has this to say about the recommendation:
We rate COACH INC as a Hold with a ratings score of C. The primary factors that have impacted our rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures and increase in net income. However, as a counter to these strengths, we find that the company's return on equity has been disappointing.
You can view the full analysis from the report here: COH