H&M shares rise after Morgan Stanley upgrades ranking of quick trend group By Investing.com
By Scott Kanowsky
Investing.com — H & M Hennes & Mauritz AB B (ST:) has seen its outlook raised by analysts once more after the quick trend large posted a better-than-expected revenue within the first quarter.
Analysts at Morgan Stanley bumped up their ranking to equal-weight from underweight, citing margin enhancements on the Swedish agency that helped offset weaker top-line development.
It marks the most recent in a sequence of upgrades for H&M, with analysts at Danske Financial institution and Credit score Suisse additionally not too long ago lifting their respective scores of the inventory.
Shares within the firm edged larger in early European buying and selling on Wednesday.
Final week, H&M reported a shock earnings for the three months ended on February 28 of SEK 725 million (SEK 1 = $0.0973). Bloomberg estimates had seen the determine slumping to a lack of SEK 1.03B.
Quarterly gross margin of 47.2% dipped versus the primary quarter of 2022 as a result of elevated buying prices and a robust U.S. greenback, though it nonetheless topped projections of 45.8%.
In the meantime, moved up by 3% year-on-year on a neighborhood forex foundation to SEK 54.87B, however the uptick was under Bloomberg forecasts of 4.21%.