Hugo Boss: Stifel reduces target price
(CercleFinance.com) - While maintaining its 'buy' rating on Hugo Boss shares, Stifel has reduced its target price for them from E63 to E56, anticipating Q2 performance affected by weak retail sales momentum and negative operating leverage on profitability.
The broker has cut its 2024-25 EBIT guidance by 4% and believes that the share lacks the short-term catalysts for a re-rating, but sees an attractive risk/reward ratio for investors with a longer time horizon.
The market may be overestimating what Hugo Boss can achieve in the short term, but underestimating its earnings growth potential in the medium term, Stifel says, also pointing to a 2024 P/E ratio of 10x on its new figures.
Copyright (c) 2024 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.
The broker has cut its 2024-25 EBIT guidance by 4% and believes that the share lacks the short-term catalysts for a re-rating, but sees an attractive risk/reward ratio for investors with a longer time horizon.
The market may be overestimating what Hugo Boss can achieve in the short term, but underestimating its earnings growth potential in the medium term, Stifel says, also pointing to a 2024 P/E ratio of 10x on its new figures.
Copyright (c) 2024 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.