Tag Archives: fosl

W hat time is it? Time for Fossil and Garmin investors to start worrying about the impact of the Apple Watch. Both companies took a hit this week after reporting disappointing fourth-quarter results, and analysts started speculating on the impact of Apple’s (AAPL) upcoming smartwatch, due out in April. On a conference call with analysts Tuesday, designer-watch maker Fossil Group (FOSL) noted that newcomers (read: Apple) could hurt the company’s business. “While notable newcomers can help grow the market by bringing new customers into the category, they might also cause some near-term disruption,” Chief Financial Officer Dennis Secor said. In the December quarter, Richardson, Texas-based Fossil earned $2.92 a share excluding items on sales of $1.06 billion. EPS was up 9% and sales were flat year over year. Analysts polled by Thomson Reuters were looking for Fossil to earn $3.07 a share on sales of $1.12 billion….

In its first year of sales, the Apple Watch could generate almost three times as much revenue as watchmaker Fossil Group (FOSL) did in the last 12 months, RBC Capital Markets predicted Monday. RBC analyst Amit Daryanani forecasts that Apple (AAPL) will sell 20 million Apple Watch smartwatches and generate $10.4 billion in revenue in its first 12 months. By comparison, Fossil has generated sales of $3.5 billion during the past four quarters. The Apple Watch could add 40 cents in earnings per share to Apple’s bottom line in its first 12 months, Daryanani said in a research note Monday. He assumes an average selling price of $520 for the Apple Watch, which he predicts will go on sale in March. Apple has said it will start selling the Apple Watch in early 2015, with the entry level model costing $349. Daryanani reiterated his outperform rating on …