What luxury stocks are to be bought? Which ones are to be sold? Detailed instructions are provided by UBS and their financial analysts, who carried out a specific report over the subject. The news has been reported by Milano Finanza. Here is a list of stocks to be bought, as they may well guarantee sound margins of gain: Kering (+8% since the beginning of the year, though its potential increase might reach 48%); Hermès (+11% since the beginning of the year, +23% potentially); LVMH (+8%, to possibly augment by 29%) and Hugo Boss: although it dropped by 12%, it might potentially rise by 36%. Here is a list of stocks not to be bought, in contrast: Tod’s (-23% since the beginning of the year) and Ferragamo (-6%), which is advisable “to sell”. Then Richemont (-20%), whose rating is neutral. Then, rather “unexpectedly”, two more brand stocks whose business trend has been running positively since the beginning of the year: despite that, UBS has been assigning a neutral rating. The former is Prada (10%), “since the actual price is 31 Hong Kong dollars, 6% higher than current listing”. The latter is Moncler (+16%), whose “target price is 39 euros, which implies a potential increase by 30%”. For both brands, especially Moncler more than Prada, respective actual prices, fixed by analysts and advisors, are far too high and might be reached only through a terrific expansion. UBS are a little sceptical about that. Wondering who’s going to be right.
Luxury at the Stock Exchange: a report, carried out by UBS, says what stocks to sell, to buy, to hold
