NEW YORK (TheStreet) -- Shares of Michael Kors (KORS) closed lower on Thursday after CLSA initiated coverage of the stock with a "sell" rating and $45 price target.

The firm sees lack of drivers large enough to reaccelerate sales at the apparel, handbag and accessories company, the Fly reports.

While CLSA believes estimates and guidance for 2017 look achievable, the firm said Wall Street's 2018 outlook is "too bullish."

Additionally, the firm expects a number of challenges to increase as Michael Kors matures in its largest markets, while expenses create expense deleverage, the Fly noted.

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The firm also began coverage of Ralph Lauren (RL) andCoach (COH) stocks with "buy" ratings.

Separately, TheStreet Ratings Team has a "Hold" rating with a score of C+ on Michael Kors stock.

The primary factors that have impacted the rating are mixed. The company's strengths can be seen in multiple areas, such as its revenue growth, notable return on equity and attractive valuation levels.

But the team also finds that net income has been generally deteriorating over time.

Recently, 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.

You can view the full analysis from the report here: KORS

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