Still Bullish on VFC

VFC will release 4th quarter earnings on February 13, 2013. The company was able to overcome a mild winter in 4Q11 growing earnings by 37%, which seems to be the concern of many outerwear brands for 4Q12, specifically Columbia (COLM). VF should see less pressure on margins as well, as it continues to realize and finalize supply chain and distribution synergies. If VF beats street expectations during a time when its competitors may be failing, I expect that the stock will jump to at least $160, where it was trading in November after a strong earnings release. This would also show investors that VF is poised to outperform, even in a tough economic climate. The current 12-month price target is $172.45 and the stock is currently undervalued, trading at ~$147. If the company misses earnings, I don't believe there will be a big sell-off because of the promising long-term potential of the company including the possible acquisition of the Billabong surf brand to their portfolio. We currently hold a half position in the stock and will consider bolstering the position in the coming week.