patagonia stock

Patagonia Stock IPO: Can You Invest in this Clothing Company?

The following guide answers the question: Can you Buy Patagonia Stock?

Just like Undervalued Stocks, this popular clothing company could be an enormously profitable investment center.

Many ask similar questions about Bass Pro Shops, Scheels, My Pillow, and other large retailers.

There are a plethora of clothing stores around the world. Each promotes their new designs and attempts to collaborate with the most popular media figures. But besides profit, what do these companies stand for?

The philosophy of Patagonia extends far beyond its profit margin. Their commitment to donating money to environmental groups around the world and reducing waste by recycling their clothing and apparel are cornerstones of the company.

A business model that has resonated with consumers and has allowed the company to use its profits to benefit the environment.

We explore this question of buying Patagonia Stock below. If IPOs interest you, check out our list of the Best Upcoming IPOs.

What is Patagonia?

Patagonia is an American outdoor clothing and apparel company that has become one of the premium brands operating in this industry.

patagonia stock ipo

The company’s growth and expansion have allowed it to erect factories in 16 countries while maintaining stores in more than ten countries across five continents.

Each store offers products for men, women, and children and includes clothing, athletic equipment, backpacks, sleeping bags, camping food, and a plethora of additional accessories.

The various sports equipment Patagonia sells include snow sports, fly fishing, surfing, kitesurfing, mountain biking, climbing, and trail running.

What is Patagonia?

Besides the stylish clothing and durable equipment Patagonia provides, philanthropic endeavors have been central to the philosophy as Patagonia constantly attempts to find ways to support the residents in the communities in which they serve and the world at large.

An example of the way Patagonia strives to make the world a better place is the 1% For The Planet initiative.

An example of the way Patagonia strives to make the world a better place is the 1% For The Planet initiative.

This was a pledge by Patagonia to donate 1% of sales to the preservation and restoration of the natural environment and has totaled over $140 million in aid to domestic and international grassroots environmental groups.

A dedication to recycling their products is also a fundamental part of Patagonia’s business. Returned merchandise can be exchanged for store credit.

worn wear program

Through the Worn Wear website, Patagonia merchandise is cleaned, repaired, and then sold again.

Whereas the ReCrafted program uses scraps of fabric from Patagonia merchandise that is then manufactured into clothing and sold on the site.

 

Patagonia History

In 1957, Yvon Chouinard began selling homemade mountain climbing gear through his company, Chouinard Equipment.

To improve his products and address the increased demand for his products, Chouinard partnered with Tom Frost in 1965.

Patagonia History

In 1973, Great Pacific Iron Works, the first Patagonia store, opened in Ventura, California.

Patagonia and Chouinard Equipment were incorporated within Great Pacific Iron Works in 1981.

The name of Great Pacific Iron Works was changed to Lost Arrow Corporation by Chouinard in 1984.

The company announced in April of 2017 that Patagonia merchandise still in good condition can be returned for store credit.

headquarters

This used merchandise is then cleaned, repaired, and sold on the Worn Wear website.

Patagonia launched the ReCrafted program in 2019 that uses scraps of fabric from Patagonia merchandise that is then manufactured into clothing and sold on the site.

The company ceased advertising on Facebook and Instagram in July of 2020 in solidarity with the Stop Hate For Profit campaign.

Patagonia announced in 2021 that it would no longer produce clothing with a corporate logo added to it because it reduced the lifespan of the garment.

The company aims to become carbon neutral by the year 2025.

Brand Ambassadors

Brand Ambassadors

Listed below are eight ambassadors of the Patagonia brand:

  • Belinda Baggs
  • Clare Gallagher
  • Greg Long
  • Ian Walsh
  • Dan Ross
  • Dave Rastovich
  • Ramón Navarro
  • Tommy Caldwell

Criticisms and Controversies

PETA criticized the company for using the practice of mulesing as a way of sourcing wool in Australia in February of 2005.

In response, Patagonia moved their wool sourcing from Australia to Ovis 21 in South America. However, in August of 2015, PETA released a video showing how Ovis 21 participated in animal cruelty.

United Kingdom animal activist group Four Paws accused Patagonia of using live-plucked down feathers and downs of force-fed geese in 2012.

The European Center for Constitutional and Human Rights filed a criminal complaint in a Dutch court in December of 2021 alleging that Patagonia had profited from the forced Uygher labor in Xinjiang.

Patagonia Stock IPO?

As Patagonia is a private company, you cannot purchase shares of stock in the company.

Patagonia Stock – Estimated Value

Since Patagonia is not currently a publicly-traded company, there is not a price to report on how much a single stock in the company would cost.

The most accurate way to determine an initial IPO price would be to compare it to other publicly traded sporting goods and apparel companies.

We can use the IPO opening price of similar sporting goods and apparel companies to get a range of what to expect for a price when the company does go public.

Columbia Sportswear Company

  • Opening Price of Stock: $16.00
  • Previous 52 Week High: $114.98

Columbia Sportswear Company

VF Corporation

  • Opening Price of Stock: $0.24
  • Previous 52 Week High: $90.79

VF Corporation

Canada Goose Holdings

  • Opening Price of Stock: $18.00
  • Previous 52 Week High: $67.33

Canada Goose Holdings

Vista Outdoor

  • Opening Price of Stock: $33.98
  • Previous 52 Week High: $42.70

Vista Outdoor stock

Dick’s Sporting Goods

  • Opening Price of Stock: $12.00
  • Previous 52 Week High: $142.78

Dick’s Sporting Goods

With a business model that differentiates itself from its competition through its commitment to the environment and its fashionable clothing and durable accessories, one could infer that if Patagonia ever does go public, the price of their IPO could fall somewhere within the opening prices above.

Therefore, it would be safe to assume that its IPO opening price could range from $12 – $34.

Whereas the potential growth of a single share of stock could reach between $43 – $143 when analyzing the previous 52-week highs of companies operating in the same sector.

Alternative Investments

So, you can’t buy stock in Patagonia, but you’re determined to buy equity in another sporting goods and apparel company. What are some of your alternative options?

  • Columbia Sportswear Company (COLM)
  • VF Corporation (VFC)
  • Under Armour Inc. (UAA)
  • Canada Goose Holdings Inc. (GOOS)
  • Deckers Outdoor Corporation (DECK)
  • Vista Outdoor (VSTO)
  • Amer Sports (AMEAS )
  • Fenix Outdoor (FNXTF )
  • Foot Locker (FL)
  • Dick’s Sporting Goods (DKS)
  • Brunswick Corporation (BC)

Can You Buy Stock in Patagonia?

It is a great question to ask because this outdoor clothing and apparel company could be an enormously profitable investment center.

Especially when you take into account the locations and factories all across the globe, its commitment to donating money to grassroots environmental groups, its willingness to recycle its merchandise, and the fashionable clothing and durable equipment the company sells.

Ultimately, no, you cannot buy stock in Patagonia, Inc. But with its rapid growth and expansion into countries around the world, the company could go public very soon.

Frequently Asked Questions

Can You Buy Patagonia Stock?

No, you can’t buy stock in Patagonia as they are a privately owned company.

When is the Patagonia Stock IPO?

Patagonia has not yet filed for an IPO, but with its dominance in the outdoor clothing industry, they could in the near future.

How Much Will Patagonia Stock Cost?

Although Patagonia has not filed for an IPO, would be safe to assume that its IPO opening price would fall somewhere in the $12 to $34 range.

Who Owns Patagonia?

Patagonia was founded by Yvon Chouinard in 1973. The current CEO is Ryan Gellert.