Richemont: Aurel BGC much more optimistic on share.
(CercleFinance.com) - Analysts at the Parisian broker Aurel BGC welcome interim sales figures published this morning by the Swiss luxury group Richemont, which have exceeded expectations.
As a result, they have raised their target price for the stock from 77 Swiss francs to 85 Swiss francs (+10.3%), although maintain their "hold" rating, with the stock's upside potential seeming limited after its sharp recovery.
At the end of the first five months of its 2017/2018 fiscal year (April to August), Richemont reported a 12% increase in sales at constant exchange rates, while consensus was only looking for 10% and that in 2016/2017 this rate was -4%. Aurel BGC, which was expecting a rebound slightly less at +11%, points out that a sharp recovery was expected, while the comparison basis was very favourable.
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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.
As a result, they have raised their target price for the stock from 77 Swiss francs to 85 Swiss francs (+10.3%), although maintain their "hold" rating, with the stock's upside potential seeming limited after its sharp recovery.
At the end of the first five months of its 2017/2018 fiscal year (April to August), Richemont reported a 12% increase in sales at constant exchange rates, while consensus was only looking for 10% and that in 2016/2017 this rate was -4%. Aurel BGC, which was expecting a rebound slightly less at +11%, points out that a sharp recovery was expected, while the comparison basis was very favourable.
Copyright (c) 2017 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.