Richemont: Stifel still a buyer, reduces TP
(CercleFinance.com) - Stifel maintains its 'buy' rating on Richemont shares, reducing its target price for them from 145 CHF to 139 CHF, after reducing its 2024-25 EBIT estimates by 3% for the Swiss luxury house.
Worsening sector trends since September lead it to lower its growth and margin assumptions for H2 2024, in line with its recent reductions in projections for peers such as LVMH, Kering and Burberry.
"On a relative basis, the stock's risk-reward trade-off remains attractive to us in light of the magnitude of recent de-rating (forward P/E down to 10-year lows) and the intact fundamental strengths of its Jewellery Maisons", the broker judges, however.
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