The Globe and Mail reports in its Tuesday edition that RBC analyst Sabahat Khan expects earnings improvements in the second half of 2016 and into 2017 for Performance Sports Group ($17.10) (all figures Canadian unless otherwise stated). The Globe's David Leeder writes in the Eye On Equities column that Mr. Khan says, "Although earnings are expected to be lower [year over year in the first half], the continued underlying growth in each of the company's sports vectors, including market share gains in hockey and lacrosse, and the expectation of improved [year-over-year] earnings leads to our positive outlook on PSG shares." Despite higher-than-forecasted fourth quarter 2015 sales, lower-than-expected earnings before interest and taxes as well as a lower tax expense resulted in diluted EPS of 19 cents, compared with 28 cents in the previous year. Mr. Khan had forecasted 23 cents and the consensus was 22 cents. Foreign exchange hurt EPS by about 13 cents. Though he forecasts a 200-basis-point headwind from foreign exchange, Mr. Khan expects gross margins to improve in the 2016 fiscal year. Mr. Khan continues to rate Performance Sports "outperform." He cut his share target to $15 (U.S.) from $22 (U.S.).