Barclays starts Jimmy Choo at 'overweight', strong growth seen

Shares in the fashion retailer Jimmy Choo rose on Thursday after Barclays initiated coverage with an 'overweight' recommendation and a price target of 208p on expectations for stronger growth than its sector peers.Barclays predicted earnings per share would grow at an average pace of 14% over the next five years thanks to store openings with like-for-like growth reaching between 4 and 5% per year.By 2020, the shoe retailer was also expected to boost its margins on an earnings before interest, taxes, depreciation, and amortization basis from 16.8% to 20.8%.According to analysts, the luxury footwear market has benefited from accessible pricing, the trend to accessorise, increased retail space and a rise in menswear."We see the brand as well positioned with a sub-3% market share in the shoe category, one of the fastest growing and most fragmented luxury segments with a substantial amount of white space," the broker added.Shares were up 2.67% to 160.99p on Thursday.