Birkenstock shares drop 13% after Q2 earnings miss and price target cut to $51

Birkenstock's stock fell over 13% after reporting Q2 earnings of $0.59 per share, missing the expected $0.70. The company faced profitability pressure due to a gross margin decline from 57.7% to 53.9%, impacted by currency issues, higher US tariffs, and competition. Despite this, revenue grew strongly to $723.58 million, and Birkenstock reaffirmed its full-year 2026 revenue growth targets of 13% to 15%. An analyst lowered the price target to $51, still suggesting a 54% upside from the current price of $33.06.