Hugo Boss Stock: Here is Still Potential

Last Updated: 24. November 2023By

The Hugo Boss stock has recovered after a multi-month period of weakness in the last few weeks and has regained the mark of 60 euros (as of November 24th, around 10 am). On the one hand, the strong Q3 figures from Hugo Boss have convinced, on the other hand, the analysts are also giving the paper a boost.

In the quarterly figures, the fashion company presented sales and profit growth as expected in advance. Hugo Boss has also confirmed the targets raised in the summer for the current year. Importantly for investors, the price crash between July and October appears exaggerated in view of the ongoing growth dynamics โ€“ there is potential here.

Hugo Boss meets expectations in Q3 With a sales growth of 10 percent (15 percent on a currency-adjusted basis), Hugo Boss earned 1.03 billion euros in the 3rd quarter as expected in advance. Although the dynamics in Q3 have eased somewhat due to the increasingly difficult environment, the company was able to gain in all regions.

At the same time, EBIT climbed around 12 percent to 103 million euros and the EBIT margin rose slightly to 10 percent. All in all, Hugo Boss earned around 63 million euros in Q3 (9 percent more than in the previous year). The company is sticking to its annual targets: sales should be between 4.1 and 4.2 billion euros, EBIT between 400 and 420 million euros.

Analysts support the Hugo Boss stock In the last few weeks, many analysts have updated their view of the Hugo Boss stock. Most are still optimistic about the price targets and the majority recommend buying. The analyzed price potential ranges between just under 20 and almost 45 percent.

Most recently, Deutsche Bank and UBS have analyzed the Hugo Boss stock this week. Both currently see buying prices โ€“ Deutsche Bank has set the price target at 79 euros, UBS even at 85 euros. Given the current price level of just over 60 euros, there is still a lot of upside potential here.

Hugo Boss stock: the crash seems exaggerated Between mid-July and the end of October, the Hugo Boss stock lost around 25 percent. Nevertheless, the company is able to hold its own even in a difficult environment and will grow significantly in 2023. The medium-term outlook is also positive, so the summer price drop seems exaggerated.

Some analysts also see catching-up potential with the Hugo Boss stock. Mid-term oriented investors should have the paper of Hugo Boss on their list, here it can certainly go up in the coming quarters. And also in the long term there is potential, the targets for the next few years can also be seen.