Inditex: Jefferies renews buy rating with E51 TP
(CercleFinance.com) - On Friday, Jefferies renewed its Buy rating on and E51 target price for Inditex shares, deeming the stock insufficiently recognized despite its well-established qualities.
From the analyst's viewpoint, the Spanish clothing manufacturer's shares are a safe and attractive investment at a time when some of the big names in consumer goods are going through more uncertain times.
The broker says that its quarterly results - due out on 11 September - should confirm the group's ability to generate double-digit growth in both sales and profits.
According to its calculations, the ready-to-wear giant's sales, excluding the exit from the Russian market, would have climbed by around 34% between the 2019/2020 and 2023/2024, despite the absence of growth in its consolidation scope.
Finally, Jefferies points out that a stabilisation of consumer spending in Europe could be an additional factor justifying a move into the stock, on which it says it sees 15% upside potential.
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 information and analyses published by Cercle Finance are intended solely as a decision-making aid for investors. Cercle Finance cannot be held responsible, directly or indirectly, for the use of information and analyses by readers. Uninformed investors are advised to consult a professional advisor before investing. This information does not constitute an invitation to sell or a solicitation to buy.
From the analyst's viewpoint, the Spanish clothing manufacturer's shares are a safe and attractive investment at a time when some of the big names in consumer goods are going through more uncertain times.
The broker says that its quarterly results - due out on 11 September - should confirm the group's ability to generate double-digit growth in both sales and profits.
According to its calculations, the ready-to-wear giant's sales, excluding the exit from the Russian market, would have climbed by around 34% between the 2019/2020 and 2023/2024, despite the absence of growth in its consolidation scope.
Finally, Jefferies points out that a stabilisation of consumer spending in Europe could be an additional factor justifying a move into the stock, on which it says it sees 15% upside potential.
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 information and analyses published by Cercle Finance are intended solely as a decision-making aid for investors. Cercle Finance cannot be held responsible, directly or indirectly, for the use of information and analyses by readers. Uninformed investors are advised to consult a professional advisor before investing. This information does not constitute an invitation to sell or a solicitation to buy.