Inditex shares are boosted 3.78% after presenting results

Analysts highlight the positive results of the company


The shares of Inditex have closed with a rebound of 3.78% this Wednesday’s session, in which the company has presented its results for the first half of its fiscal year 2022-2023, which runs from February 1 to 31 of July.

Inditex has announced a net profit of 1,794 million euros, which represents an increase of 41% compared to the same period a year earlier. Sales, gross operating profit (Ebitda) and net profit have reached an all-time high.

The company’s shares, which during the session have shot up to 5.77%, have ended at a price of 22.78 euros, which represents a daily rise of 3.78%.

Banco Sabadell’s analysis department has underlined the “very good” results of Inditex, both due to the solidity that demand is showing, despite the rise in prices, and due to the good operating evolution, where costs remain controlled.

“Everything, together with the good indications of the ‘trading update’, should provide a positive reception even more so when it loses 23% in 2022 and 7% since the presentation of its first quarter results last June”, they have underlined. from the financial institution.

Sabadell analysts have also positively assessed the start of the third quarter (between August 1 and September 11), with an 11% increase in store and online sales at a constant exchange rate, since it is compared with a record period of 2021 and means maintaining a “solid” rate of improvement “at a time when doubts about the evolution of consumption in recent weeks have made the range of estimates for said indicator very wide”.

Likewise, the Renta 4 analyst Iván San Félix has highlighted that the results have exceeded the forecasts in the main magnitudes and has agreed that the data at the beginning of the third quarter is “very positive”, taking into account that the consensus points to a revenue growth of just 3.5% for the quarter and that the recent change in weather towards milder temperatures “should favor fall/winter sales.”

“We expect a positive impact on the price after having exceeded the forecasts in the main magnitudes and a very favorable start to sales in the third quarter, in double digits, and much higher than the consensus forecasts”, the analyst pointed out.

The Sabadell analysis team recommends buying Inditex shares and has set its target price at 27.7 euros per share. Renta 4 recommends overweighting and places its target price at 30.1 euros.


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