Inditex: Credit Suisse cuts target price
(CercleFinance.com) - While maintaining its "neutral" rating on the Inditex share, Credit Suisse has cut its target price from 24 euros to 23 euros, after analysts reduced their EPS estimates by 4.
3% for FY 2020-21, followed by a 6.1% cut for 2021-22.
In a note on the Spanish textile group and its Swedish peer H&M, the broker gives a "cautious view of sales since stores re-opened and the outlook for the rest of this year and next".
"Given the relatively modest online presence (16% and 14%, respectively, of sales in 2019 including collect at store) and reliance on city centre stores, where footfall is weakest, it is possible that both companies are losing market share," Credit Suisse adds.
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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.
3% for FY 2020-21, followed by a 6.1% cut for 2021-22.
In a note on the Spanish textile group and its Swedish peer H&M, the broker gives a "cautious view of sales since stores re-opened and the outlook for the rest of this year and next".
"Given the relatively modest online presence (16% and 14%, respectively, of sales in 2019 including collect at store) and reliance on city centre stores, where footfall is weakest, it is possible that both companies are losing market share," Credit Suisse adds.
Copyright (c) 2020 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.