Citywire printed articles sponsored by:
View the article online at http://citywire.co.uk/wealth-manager/article/a704214
The Expert View: JD Sports, Go-Ahead and Dairy Crest
by Chris Marshall on Sep 20, 2013 at 05:01
‘Buy’ Asos after strong results
Investors should buy shares in Asos (ASOS.L), analysts said, after the online fashion retailer posted a 46% rise in fourth quarter sales that included rapid growth across all of the company’s major markets.
Wayne Brown of Canaccord Genuity raised his rating from ‘hold’ to ‘buy’, with a target price of £62.00.
‘The ability to adopt a "disruptive pricing model" sourced from multiple drivers, the key element being volume, is delivering significant opportunity,’ he noted.
‘In the next 12 months, we expect this will not only come from further price investment but the ability to enter into new markets and invest greater depth in core.’
Analysts at Panmure Gordon also described the results as ‘strong’ and reiterated their existing buy recommendation for Asos.
Shares in Asos leapt 7.1% higher on Thursday, to £51.76.
News sponsored by:
Today's top headlines
More about this:
Look up the shares
- ASOS PLC (ASOS.L)
- Go-Ahead Group PLC (GOG.L)
- United Utilities Group PLC (UU.L)
- Dairy Crest Group PLC (DCG.L)
- JD Sports Fashion PLC (JD.L)