Asos: Liberum raises target price
(CercleFinance.com) - Liberum has raised its target price on the Asos share from 28 pounds to 32 pounds, to reflect better cash flow, while the broker maintains its "hold" rating on the share, highlighting future execution risks, expressing its preference for its peer Zalando.
The broker points out that the British online apparel retailer has released H1 results that are broadly in line with expectations, and that it is maintaining its FY targets.
"We are encouraged by the increasingly efficient use of cash as the warehouses are ramped up, however the fact remains that underlying trading on the top line has been below expectations, especially in Europe," it 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.
The broker points out that the British online apparel retailer has released H1 results that are broadly in line with expectations, and that it is maintaining its FY targets.
"We are encouraged by the increasingly efficient use of cash as the warehouses are ramped up, however the fact remains that underlying trading on the top line has been below expectations, especially in Europe," it adds.
Copyright (c) 2019 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.