den 13 maj 2016

Important legal information

Zalando SE is Europe’s biggest online fashion retailer with more than 18,4 million active customers. The company was founded in 2008, employs 10.000 people, and is listed on the Frankfurt Stock Exchange. The group ships fashion products to clients across 15 European countries. Zalando expanded its partner program, which allows selected companies to directly sell their products via Zalando’s platform. Well-known brands such as Adidas or Superdry have already signed partnership with Zalando.

Group revenue in the first quarter of 2016 grew as much as 23,7% to EUR 796,1 million. As a comparison, revenue was EUR 643,6 million Q1 2015. Zalando’s investment were higher in Q1 2016 than usual, especially in marketing and logistic, and therefore weighted on business profitability: EBIT adjusted fell 30,5 percent to EUR 20,2 Million. Although Zalando has managed to increase sales volume in a turbulent market environment the operating margin of the company dropped from 3,9 percent last year to 2,1 percent in the first quarter of 2016. Therefore, Zalando shares dropped about 6,5 percent after first quarter report.

According to Handelsbanken’s analysts, 2016 and 2017 could be two strong investment years for Zalando, which might boost profitability and revenue in the future. Especially the valuation with an enterprise value per share of 1,3 leds the analyst to reiterate their BUY recommendation, even if the target price has been lowered from EUR 38 to EUR 36.

Bloomberg consensus set the 12-month target price to EUR 37,82. Currently, 10 analysts set Zalando on BUY, 7 on HOLD and 2 on SELL recommendation.



2022-12-05 06:16:13