Goldman Sachs Raises Esprit’s Target Price to HK$57
Goldman Sachs raised Esprit’s (Hong Kong stock code 0330) target price to HK$57 from HK$55 and kept its Buy call. The house revised up Esprit’s FY11/FY12/FY13 EPS estimates by 2.9%/6.0%/7.6% respectively to reflect stronger EUR. The House noted that Esprit recently made a number of key new hires, including H&M’s former brand director Jorgen Andersson (25 years with H&M) and creative director Jan Nord (10 years with H&M). The House said, “with macro/inventory cycle bottoming out, euro shifting to a tailwind, and execution upside from a greatly strengthened team, we see risk reward in Esprit as attractive.” Esprit was the best-performing blue chip on Friday, +4.43% closed at HK$44.80.
Related article:
Funds Downgrade Clothing Giant Esprit Amid Disappointing FY Results (9-3-2010)
Comments are closed.