Canaccord analyst Camilo Lyon lowered his price target on Capri Holdings to $67 from $76 following Q4 results. The analyst cited lower than expected gross margins and a more conservative outlook on P/E and EBITDA multiples. He notes the shares are now trading at distressed levels following its selloff. Lyon believes the valuation is too low for a portfolio with good brands and thus reiterated his Buy rating on Capri Holdings shares.

Capri Holdings (CPRI) shares could fall to the low-to-mid $20s if Tapestry's (TPR) $57 per share takeover is successfully blocked by the Federal Trade Commission, Yiqin Shen of Bloomberg reports, citing a survey of 20 merger-arbitrage specialists. The survey, conducted on Tuesday, focuses on merger-arbitrage estimates on the Capri's downside price - a level that reflects the stock's fundamental value by the end of 2024, when the outcome of the FTC's challenge is expected to be either upheld or overturned in court, Shen notes. Shares of Capri Holdings are down 5% to $34.81 in midday trading.