RBC Capital downgrades Superdry to 'sector perform'

The bank said Superdry has made a good start to its turnaround strategy, with a better product offering and improving social media metrics, but noted that improvements are coming through more slowly than anticipated.

"We believe that there is still work to be done, particularly in the wholesale business and the digital platform," RBC said.

"We note a strong run in the shares over the last three months (up circa 50%) and valuation, at circa.12x CY23e price-to-earnings, looks fair in our view," it said, hence the downgrade.

RBC maintained its 'speculative risk' rating and lifted the price target to 160p from 155p.

At 1055 GMT, Superdry shares were down 1.5% at 144.80p.