FRANKFURT (dpa-AFX) - The weak performance of Zalando shares continues in 2024. On Friday, the share price fell by 2.89 percent to 18.82 euros, further approaching the record low of just over 17 euros to which it had fallen shortly after the IPO in fall 2014. The issue price had been EUR 21.50.

In the still young Borsen year 2024, Zalando's share price losses amounted to a good 12 percent, putting it in last place in the Dax. In 2023, the shares were already at the bottom of the leading German index with an annual loss of a good 35%; in 2022, they were second to last with a loss of more than half.

The weak performance goes hand in hand with a generally more cautious attitude of investors towards online and technology stocks, which is reflected in the US stock markets in 2024. Large sector stocks such as Amazon, Netflix, Alphabet and Meta also had a weak start to the year on the Nasdaq stock exchange after the Nasdaq had performed strongly in 2023. One reason for their recent setbacks is diminished hopes that the US Federal Reserve will soon cut the key interest rate significantly.

Last year, Zalando, like many companies in the fashion industry, felt the effects of customers' reluctance to buy. High inflation, economic uncertainty, high stock levels and sales at deep discounts left their mark. The fact that Zalando made progress in containing costs at the same time did not help the shares. For comparison: in mid-2021, Zalando had reached a record high of almost 106 euros. At that time - in the middle of the coronavirus pandemic - online retail was booming.

On Thursday, a profit warning from JD Sports Fashion further dampened the mood. The British sports retailer lowered its profit forecast for the financial year following a disappointing performance in the important Christmas trading period. The company blamed unusual weather and restrained consumer spending for weak sales in the run-up to the festive season. It went on to say that margins for the year as a whole will probably be lower than in the previous year. This was due to special offers and promotions to attract shoppers during the Christmas period.

The comments also weighed on the shares of sports fashion manufacturers such as Adidas and Puma. While Adidas was also under pressure on Thursday, Puma started a recovery attempt with a plus of 0.7 percent. In contrast to Puma, however, Adidas had performed strongly in 2023. Here, investors were betting on a recovery under the new CEO Bjørn Gulden, who had come from rival Puma./mis/tih/jha/