Credit Suisse assesses the second half is likely to have been strong although the continuation of the restrictions across parts of NSW and Victoria presents some downside risk to guidance provided in June. The broker uses FY23 to reflect more normal earnings estimates.
The broker suspects spring inventory is likely to provide the greater risk for retailers as some apparel stores will effectively miss an entire season of in-store trading. Neutral maintained. Target is reduced to $26.28 from $26.70.
Target price is $26.28.Current Price is $28.07. Difference: ($1.79) – (brackets indicate current price is over target). If PMV meets the Credit Suisse target it will return approximately -7% (excluding dividends, fees and charges – negative figures indicate an expected loss).