Zalando: Commerzbank cuts target price.
(CercleFinance.com) - Commerzbank is maintaining its buy rating on Zalando, but trims its target price from 50 euros to 48 euros, following preliminary Q2 results that are below expectations.
It has cut its 2017/18 adjusted EBIT estimate by 12%-13%, which came in at 83 million euros, below consensus of 93 million euros.
The broker highlights that 2017 is a year of investment for Zalando and that such investments will boost its future position.
Finally, the broker says that the share's valuation remains attractive, with it trading at a 2018 EV/EBIT of 26x, below peer Asos' 40x.
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.
It has cut its 2017/18 adjusted EBIT estimate by 12%-13%, which came in at 83 million euros, below consensus of 93 million euros.
The broker highlights that 2017 is a year of investment for Zalando and that such investments will boost its future position.
Finally, the broker says that the share's valuation remains attractive, with it trading at a 2018 EV/EBIT of 26x, below peer Asos' 40x.
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.