In a report released today, Arianna Terazzi from Intesa Sanpaolo maintained a Hold rating on Aeffe S.p.A. (0GY8 – Research Report), with a price target of €0.85.
Arianna Terazzi’s rating is based on Aeffe S.p.A.’s recent financial performance and strategic outlook. The company experienced a significant decline in revenues for FY24, but anticipates a return to growth starting in the second half of 2025, partly due to the influence of their new creative director. Despite the challenging market environment, Aeffe has managed to improve its financial stability by disposing of non-core assets.
Looking ahead to FY25, Terazzi expects only slight sales growth as the company continues to face subdued demand. However, Aeffe’s focus on optimizing structural costs and reducing debt through further asset disposals and operational integrations is expected to enhance profitability. By FY26, the company is projected to achieve double-digit growth and near breakeven at the bottom line, prompting the decision to maintain a Hold rating while adjusting the target price to EUR 0.85.
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