Naked Wines plc (WINE – Research Report), the Consumer Defensive sector company, was revisited by a Wall Street analyst today. Analyst Andrew Wade from Jefferies maintained a Buy rating on the stock and has a p95.00 price target.
Andrew Wade has given his Buy rating due to a combination of factors that highlight Naked Wines plc’s promising strategic initiatives. The company has introduced a new strategic plan focused on three main priorities: generating £75 million in cash by March 2025 primarily through liquidating excess inventory, achieving an annual EBITDA of £10-15 million, and resuming sustainable revenue growth with an exit growth rate target of 5%-10%. These efforts indicate a robust approach to financial health and operational efficiency.
Moreover, the company’s capital allocation policy, which includes potential share repurchases and limited distribution strategies, suggests a commitment to returning value to shareholders. The strategic plan’s emphasis on cash returns, sustainable EBITDA, and long-term growth provides a solid foundation for future performance, making the stock an attractive buy. Wade’s confidence in the company’s direction is reflected in his positive outlook for Naked Wines plc.
According to TipRanks, Wade is a 3-star analyst with an average return of 1.4% and a 50.00% success rate.