Richemont's share price is up 0.5% on the Zurich Stock Exchange, benefiting from several positive analyses.

Oddo BHF believes that growth was rather robust in Q3, at +8%, with a double-digit increase for Maisons Joaillères. The analyst confirms his Outperform recommendation and raises his price target to 135 Swiss francs (from 130 Swiss francs).

' Q3 group sales came to 5,593 ME, i.e. +4% y/y and +8% y/y cc (Q2 was +5%). We were expecting overall growth of +7.2% in Q3 (sales forecast at 5,554 ME), while the Visible Alpha consensus was c.+6%, with sales estimated at 5,493 ME", stresses the research firm. The publication therefore shows a positive surprise of +1%/+2%.

By division, Maisons Joaillères came out at +12% y/y c.i.d. for Q3 to 3,952 ME after +9% in Q2 (we were expecting +9%), Horlogers Spécialisés at +3% to 939 ME after -4% in Q2 (we were expecting +3%).

The analyst has raised his growth forecast for Q4 from +0% to +2% y/y cc with
Jewelry Houses at +3% versus +0%, which leads the analyst to raise his March 2024 full-year forecast by +1% for sales and EBIT.

Our forecast scenario for subsequent years changes only marginally. Growth expected at +6.0% cc for March 2025 (Maisons Joaillères at +7%) and +6.6% for March 2026 (Maisons Joaillères at +7.5%). Group EBIT margin expected at 23.8% for March 2025 compared with the March 2024 forecast raised from 23.3% to 23.4%, March 2026 margin expected at 24.8%' adds Oddo BHF.

UBS believes that concerns have been dismissed in the 3rd quarter and that it is not yet too late to buy.

The research firm confirms its buy recommendation on the stock and raises its target price to 149 Swiss francs (from 136 Swiss francs), which represents a potential upside of 28% from the current price.

' We are raising our estimates following the 'revolutionary' third-quarter results, which proved CFR's less cyclical business model - we expect a further revaluation of the shares' says UBS.

' Group sales in Q3 came to 5,593 MEUR (+2% vs. UBSe's estimate of 5,459 MEUR), with organic sales growth of +8% (UBSe's estimate +5%) ' stresses the analyst firm.

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