Kering: Stifel on hold, cuts target price

(CercleFinance.com) - Stifel maintains its 'hold' recommendation on Kering shares, while lowering its target price for them from E305 to E275, after reducing its EPS forecasts for the luxury group by 4% for 2024 and 7% for 2025.


While acknowledging bright spots, such as Bottega Veneta and Boucheron, the broker explains that it is taking a more conservative view of the outlook for consumption in China, as well as a more gradual recovery in sales and margins for Gucci.

Kering shares offer the option of a long-term sales and margin recovery for Gucci, but the glass seems more half-empty than half-full in the current external demand environment, it adds.


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