RE: The guardian19 Oct 2024 09:11
Investment bank, Panmure Liberum, issued a Buy call on boohoo’s shares after today’s update, saying: “While the current trading is disappointing, the Debenhams business is in very strong growth.
“We think the board’s statement to unlock value should put the focus on Debenhams which we think could alone be worth more than the current market cap as a fast growing, profitable, capital light and cash generative marketplace.
“Trade buyers could extract significant value from boohoo, PLT and Karen Millen brands. Our updated SOTP valuation suggests a £650m, 60% upside, which we note is subdued due to current trading woes.
“Further upside of between £60-260m could materialise as trading improves and/or a trade sale of the young fashion brands plays out.”