Moncler: Oddo BHF trims target price

(CercleFinance.com) - Oddo BHF maintains its 'neutral' rating on Moncler shares, with a target price lowered from E55 to E53.
9.

The analyst points to a sharper-than-expected slowdown in Q3.

Indeed, at E635.5m Q3 sales mark a further slowdown, with y/y cc growth now negative at -3%; we were expecting c. -1% on the basis of Q3 sales forecast at E648.5m, he points out.

In this context, Moncler remains cautious about Q4 (difficult 2023 comparison basis) and does not perceive any clear change in trend at the start of the quarter.

We are expecting Moncler Q4 DTC growth at +1% (3% prev.), i.e. total group sales growth at 0% (2% prev.).) On this basis, we now expect a FY 2024 EBIT margin of 29.3% (29.4% prev.), the broker says.

The slowdown visible on the Moncler brand over the last 6 months certainly reflects less favourable overall demand for luxury products, but nevertheless raises questions about the group's intrinsic growth potential over the next few years, Oddo BHF concludes.


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