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VF Corp (VFC; Baa3 Neg, BBB- Neg) {VFC US Equity +3.6%}

CONSUMER CYCLICALS
  • VF Equities are having a strong session, unclear on if that's retail read through from H&M {HMB SS Equity +16%} but looks to be the case.
  • We'd be weary on read-through to credit. VF still needs asset sales (packs business been flagged) to boost liquidity/handle upcoming matures.
  • Continues to price well wide in €, still no signs of Moody's (Baa3 Neg), downgrade into HY we flagged as likely from it after Q3 earnings in early Feb (is well priced).

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