Zalando: UBS remains neutral despite forecasts

(CercleFinance.com) - UBS believes that the first signs of a B2C-led recovery are visible.
Q2 sales beat expectations and show signs of recovery.

The analyst confirms his neutral recommendation on the stock, with a target price of E26.

Encouraging signs of B2C recovery in the second quarter point to a short-term upside. We remain neutral until we see further evidence of sales growth, UBS says.

Zalando reported higher sales and adjusted EBIT than in other quarters, with a sequential improvement in active customers. Forecasts for the fiscal year have been reiterated, UBS adds.

Zalando has confirmed its FY 2024 forecasts and expects GMV and sales to increase by 0% to 5% this year compared with 2023.

The company will continue to focus on profitable growth, with margins rising steadily. Adjusted EBIT is expected between E380m and E450m, management said.


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