FRANKFURT (dpa-AFX) - With the expected price jump, Zalando shares would make up more than half of the recent price slide in the main business on Thursday. The online retailer announced a surprisingly good operating result (EBIT) for the past financial year the evening before. UBS analyst Yashraj Rajani recommended buying the shares and set a price target of 40 euros. On the Tradegate trading platform, the shares shot up 11 percent above the previous day's closing price to 32.49 euros.
Rajani is also significantly more optimistic for the new year than the market consensus. With his EBIT forecast for 2025, he is a bit higher, even though he expects the company's outlook to be conservative again. Zalando is apparently in an "upgrade cycle" and will probably gradually set itself ever higher targets. Rajani sees the acquisition of About You as an enormous value creation opportunity.
He downgraded About You to "Neutral" after the share price remained stuck at the takeover bid of 6.50 euros. Most of his theses have been proven correct, according to the expert./ag/mis