Coach, Inc. (COH): What’s In Store For Earnings

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In Coach’s quarterly report, look closely to make sure that the company has continued to defend its brand by avoiding the temptation to discount its goods through promotions. Tiffany & Co. (NYSE:TIF) made the mistake of watering down its brand with lower-price-point offerings during the financial crisis, and it took years for the jeweler to recover from the hit its gross margins took. Coach has avoided that trap so far, but it will need to remain diligent in the face of rising sales pressures abroad to preserve its brand’s long-term value.

The article What’s in Store for Coach’s Earnings originally appeared on Fool.com and is written by Dan Caplinger.

Fool contributor Dan Caplinger has no position in any stocks mentioned. You can follow him on Twitter: @DanCaplinger. The Motley Fool recommends and owns shares of Coach.

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