{"id":53201,"date":"2014-06-24T02:49:55","date_gmt":"2014-06-24T06:49:55","guid":{"rendered":"http:\/\/countingpips.com\/?p=53201"},"modified":"2014-06-24T02:49:56","modified_gmt":"2014-06-24T06:49:56","slug":"why-the-kathmandu-holdings-share-price-collapsed-today","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2014\/06\/why-the-kathmandu-holdings-share-price-collapsed-today\/","title":{"rendered":"Why the Kathmandu Holdings Share Price Collapsed Today"},"content":{"rendered":"
June 24, 2014<\/div>
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By MoneyMorning.com.au<\/u><\/a><\/p>\n

What Happened to the Kathmandu Holdings Share Price?<\/h2>\n

Shares in outdoor clothing retailer Kathmandu Holdings Ltd [ASX:KMD]<\/strong> copped a whipping today, sinking by more than 12% in a flat market. Kathmandu is now retesting the lows to which its share price sank in February.<\/p>\n

Why Did This Happen to KMD Shares?<\/h2>\n

This morning Kathmandu became the latest retailer to confess to lower profit expectations. The company took a razor to its prior guidance and told the market that its earnings may slump by as much as 15% in the year ending next week.<\/p>\n

Kathmandu\u2019s CEO Peter Halkett blamed unseasonably warm weather for the disappointing sales, with the shortfall \u2018particularly significant in the past fortnight\u2019.<\/p>\n

What Now For Kathmandu Holdings Ltd?<\/h2>\n

Well, we already knew that it was a warm winter. That\u2019s why the market seemed to factor in a large chunk of this downgrade ahead of time. <\/p>\n

Kathmandu shares have now lost more than 22% of their value in the past seven weeks. Over this period, several other retailers lowered their profit expectations because of unfavourable weather and souring consumer sentiment.<\/p>

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That tells me that most of the selling pressure on Kathmandu could be finished now that its confession is in the market.<\/p>\n

If the critical July period sees any improvement in sales, this stock could stage a real turnaround. That makes it worth considering this pullback as a potential buying opportunity.<\/p>\n

Tim Dohrmann+<\/a>
\nSmall-Cap Analyst, Australian Small-Cap Investigator<\/em><\/strong><\/p>\n

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\nBy MoneyMorning.com.au<\/u><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

By MoneyMorning.com.au What Happened to the Kathmandu Holdings Share Price? Shares in outdoor clothing retailer Kathmandu Holdings Ltd [ASX:KMD] copped a whipping today, sinking by more than 12% in a flat market. Kathmandu is now retesting the lows to which its share price sank in February. Why Did This Happen to KMD Shares? This morning […]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-53201","post","type-post","status-publish","format-standard","hentry","no-post-thumbnail"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/53201","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/comments?post=53201"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/53201\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/media?parent=53201"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/categories?post=53201"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/tags?post=53201"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}