Boohoo 'attractively valued', says RBC Capital
ASOS
411.00p
14:15 23/12/24
2.85%
11.40p
RBC Capital Markets upgraded its stance on shares of fast-fashion retailer Boohoo on Tuesday to ‘outperform’ from ‘sector perform’ and lifted the price target to 410p from 380p.
Boohoo Group
33.38p
14:14 23/12/24
0.72%
0.24p
FTSE AIM 100
3,444.37
14:20 23/12/24
n/a
n/a
FTSE AIM 50
3,871.61
14:20 23/12/24
n/a
n/a
FTSE AIM All-Share
712.33
14:20 23/12/24
n/a
n/a
General Retailers
4,662.83
14:19 23/12/24
0.38%
17.54
The bank said Boohoo shares are attractively valued, particularly considering the potential for consensus upgrades and the stock's relative underperformance versus Zalando and Asos.
"We also take a more constructive view on long-term margins," RBC said. "The company's steps towards improving its ESG policies are credible and over time, we expect the shares to re-rate to reflect that."
At 0920 BST, the shares were up 3.5% at 299.54p.