What Happened to the Kathmandu Holdings Share Price?
Kathmandu Holdings [ASX:KMD] closed down 2.22% on Friday. KMD designs and retails clothing and equipment for travel and adventure. There are 87 stores in Australia, 44 in New Zealand and 5 in the United Kingdom.
Why Did This Happen to KMD Shares?
KMD traded at a three week high yesterday of $3.16. It’s likely investors were taking some money off the table after the share price falling substantially in June.
What Now For Kathmandu Holdings?
Prior to June, KMD has been performing well this year, reaching an all time high of $3.78 in May.
The share price crashed in June — losing more than 12% in one day when the company told the market that earnings could fall as much as 15% for the 2014 financial year.
Kathmandu’s 2014 financial year in ends in July. This makes July an important trading month for the company. Strong sales could see the retailer overcome this year’s delayed start to winter. In spite of Kathmandu heavily discounting their winter stock, the current wintery weather in the eastern states of Australia could generate higher than anticipated sales.
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Support appears to be forming around $3.03. It might not decline further than this in the short term.
Shae Smith+
Editor, Money Weekend
The post Why the Kathmandu Holdings Share Price Fell Today appeared first on Stock Market News, Finance and Investments | Money Morning Australia.
