- Exane BNP Paribas downgrades Boohoo
- JP Morgan downgrades B&M European Value Retail
- Morgan Stanley raises Hammerson to ‘Overweight’
Exane BNP Paribas downgrades Boohoo
Exane BNP Paribas had downgraded Boohoo LON:BOO to ‘Neutral’ (‘Outperform’) on Tuesday. This follows news last week that Frasers LON:FRAS has increased its stake in the company from a previous level of 9.1% to 10.4%, news which was instrumental in driving the underlying stock around 8% higher on Friday.
Our AI data engine, Bridgewise, has rated the stock as a ‘Hold’ noting “boohoo’s financials indicate solid performance in terms of growth and income, which leads us to believe that they may become interesting again in the next few months.”
Boohoo shares were trading at 35.44p on Tuesday, down 4% this year and down 18% over the last 12 months.
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JP Morgan downgrades B&M European Value Retail
JP Morgan has downgraded B&M European Value Retail LON:BME to ‘Underweight’ from ‘Overweight’ as part of its downgrade of the whole European food retail sector. The broker noted that “current sentiment and valuations make for an unattractive risk reward as investors start to reassess portfolios into 2024, when we expect grocers’ profit/loss and cash-flow dynamics to worsen vs 22-23, triggering downside risk to consensus.”
Goldman Sachs has also downgraded the Food Retailer to ‘Underweight’.
Our AI data engine has B&M rated as ‘Underperform’ at the moment, noting “it is highly likely that the company will be mostly tethered to market performance and sector movements for the near term.”
B&M European Value Retail shares were trading at 554p, up 30% this year and up 48% over the last 12 months.
Morgan Stanley raises Hammerson to ‘Overweight’
Morgan Stanley has raised its rating for Hammerson LON:HMSO on Monday to ‘Overweight’ from ‘Equalweight’ and lifted its target price to 36p (27p).
The broker noted that Hammerson has made significant restructuring progress and it sees value in the shares at current levels., commenting “we are alive to the fact that broader UK exposure and offices as a sub-sector are out of favour, but at current valuation the risk reward is compelling in our view.”
Our AI data engine has rated the stock as ‘Outperform’.
Hammerson shares were trading at 24.08p at the time of writing, down 1.15% this year and up 14.3% over the last 12 months.
