Wells Fargo Downgrades Canada Goose to 'Underweight', Shares Fall
Canada Goose shares fell nearly 5.5% in pre-market trading after Wells Fargo downgraded the stock from 'equal weight' to 'underweight,' citing structural challenges that could affect its near-term performance. The brokerage set a price target of C$10, adding pressure on an already weak stock. This downgrade follows recent bearish analyst actions and growing concerns over U.S. tariffs impacting Canadian imports. The new 50% tariff increase on certain Canadian apparel exports to the U.S., effective August 19, has raised alarms among analysts about Canada Goose's financial outlook due to its significant exposure to the American market. Other brokerages like Williams Trading and UBS have also issued downgrades or lowered price targets in recent weeks. The stock is now trading near multi-year lows amid broader macroeconomic uncertainty affecting premium consumer brands. The S&P 500 and Nasdaq were both slightly lower in pre-market sessions, offering little support to the luxury apparel sector.
