NEW YORK (TheStreet) -- Shares of Michael Kors (KORS) are down 0.55% to $41.34 in mid-morning trading on Wednesday after Credit Suisse reduced their price target to $49 from $57 on the "neutral"-rated stock.
Analysts expect soft watch and handbag data to hurt the retailer's fiscal 2016 fourth quarter financial results, which are due out June 1 before the market open.
"Our proprietary survey shows that the watch, handbag, and jewelry categories clearly lag the other six categories in importance and spending intent across our survey," Credit Suisse analysts said in a note released before today's opening bell.
Declining watch average unit revenue and higher handbag discounts in department stores will also impact quarterly results as well as the 2017 fiscal year guidance.
Analysts lowered their fiscal 2017 earnings estimate to $4.32 from $4.67, compared with the consensus that calls for $4.56 per share.
Separately, Michael Kors has a "hold" rating and a letter grade of C+ at TheStreet Ratings because of the company's growth in earnings per share, revenue growth and largely solid financial position with reasonable debt levels by most measures, which offsets deteriorating net income and generally disappointing stock performance.
You can view the full analysis from the report here: KORS
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 article's author.