Citi downgrades M&S to ‘neutral’, trims target price

Citi downgraded its stance on Marks & Spencer on Thursday to ‘neutral’ from ‘buy’ and trimmed the price target to 170p from 175p.

"Whilst we continue to view M&S's transformation positively, we also continue to expect the demand environment to deteriorate across 2023 and into 2024," the bank said.

"With a higher tax assumption driving a 5p TP target trim to 170p on 10x FYMar25E earnings per share and the shares up more than 10% since our March upgrade, we move to neutral with 4% upside/7% ETR."

At 1240 BST, the shares were down 1.4% at 161.64p.