Home Business Inditex, the largest stock on the IBEX 35, is reaching historic highs

Inditex, the largest stock on the IBEX 35, is reaching historic highs

Inditex, el mayor valor del IBEX 35 roza máximos históricos


The shares of the textile group Inditex, owner of brands such as Zara and Pull&Bear, rose by 0.47% and are approaching their all-time high of June 2, 2017, closing at 36.66 euros per share. The textile multinational, with almost 115,000 million euros, is the largest value by capitalization of the IBEX 35 and therefore its movements are crucial for the development of the Spanish stock market.

Inditex shares were up 0.47% at 11:50 a.m. and are trading at 36.8 euros, having accumulated a gain of 50.83% over the year.

Diego Morín, IG analyst, points out that the textile giant is returning to the top zone after a “pause” in its price, which he considers “logical and natural after having experienced a strong increase since September 2022”, and considers this for technical The medium and long-term outlook has not changed.

“Fundamentally, the company has solid long-term growth plans with global sales that provide scope for price increases, and the company is expected to be able to continue improving the business even in the face of a recession.” Their liquidity remains strong as they do not need to make major investments, which has a positive impact on shareholder remuneration,” adds Morín.

This Tuesday, two analysis houses made recommendations for the company.

On the one hand, Caixabank BPI maintains the “Buy” recommendation and the price target at 39.90 euros; On the other hand, Morgan Stanley also sticks to its recommendation of “equal weight/in line” and the price target of 38 euros per share.

Inditex accounts for nearly 65% ​​of buy recommendations from analysts tracking the stock

The market consensus, according to Bloomberg, is that 64.7% of analysts who follow Inditex have a “buy” recommendation; 32.4% choose “Hold” and 2.9% recommend “Sell”.

Inditex recorded historic highs at the close on June 2, 2017, when the session ended at 36.66 euros; Subsequently, the Covid-19 pandemic and the war in Ukraine with its economic effects slowed the rise in the textile company’s shares.

In the intraday range, the textile group’s shares reached their high of 36.90 euros on June 5, 2017.

Inditex presented record first half results in September, achieving a profit of 2,513 million euros in the first financial year (February to July), 40.1% more than in the same period, unprecedented in 2022 (1,794 million).

The figures presented on September 13 improved the company’s records in 2022: sales increased by 13.5% to 16,851 million (14,845 in July 2022) and gross operating profit (Ebitda) increased by 15.7% (4,663 million).

No Comments

Leave A Reply

Please enter your comment!
Please enter your name here

Exit mobile version