Zalando: Credit Suisse cuts target price
(CercleFinance.com) - Credit Suisse has cut its target price for Zalando from 50 euros to 41 euros, while maintaining its "outperform" rating on the share, still seeing the German online fashion retailer as a "clear long-term winner".
In a note to clients, the broker said it regards Zalando as a major winner from the significant capacity reduction in distribution across Europe, which should reinforce the group's position as a key distributor.
In its research note, Credit Suisse warned, however, that it expects the recovery in demand to be "slow", hindered by a lack of events to stimulate apparel purchases.
While 2020 will probably be "tough," Credit Suisse is assuming a "fairly rapid rebuild" for 2021, it said.
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.
In a note to clients, the broker said it regards Zalando as a major winner from the significant capacity reduction in distribution across Europe, which should reinforce the group's position as a key distributor.
In its research note, Credit Suisse warned, however, that it expects the recovery in demand to be "slow", hindered by a lack of events to stimulate apparel purchases.
While 2020 will probably be "tough," Credit Suisse is assuming a "fairly rapid rebuild" for 2021, it said.
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.