UBS raised Prada Group's earnings per share by about a single digit.
The Zhitong Finance App learned that UBS released a research report stating that Prada (01913)'s net revenue for the first quarter increased 16.5% year-on-year, significantly higher than the 13% forecast by the market. Growth in major retail channels continued to accelerate to 17.9%, and the strong momentum is expected to continue into this month. The bank believes that the results have addressed investors' key concerns and limited the evidence supporting the bearish arguments. According to the bank, the first quarter showed the popularity of leading brands. The group's brand trend is moving in the right direction, and leather products are growing even more. The bank raised the Group's earnings per share by approximately one digit, reaffirming the “buy” rating, and the target price was raised from HK$74.5 to HK$76.5.