Samsonite International SA
01910: XHKG (HKG)
Morningstar Rating for Stocks | Fair Value | Economic Moat | Capital Allocation |
---|---|---|---|
HKD 28.00 | Mknjmyj | Llzgdjhc |
Pandemic Cost Cuts Lifted Samsonite Margins, but Old Market Forces Will Return
Business Strategy and Outlook
Samsonite's revenue and earnings faced significant challenges due to the impact of the coronavirus pandemic. Despite these pressures, the company took steps to safeguard its business, including drastic cost cuts. Now that travel has returned to prepandemic levels, Samsonite is poised to achieve impressive near-record profit margins in the near term. However, this positive momentum is unlikely to last over the long run.