Superdry shares take a hit ahead of today’s AGM
By Andrew Merrell | 11th September 2019
'Radical' is a word Superdry would probably more rather have applied to its clothing than the change necessary within to reverse its share price's direction.
Especially when the mere utterance from one particular analyst that the Cheltenham fashion house needed 'radical change' causes share price to dip by 5.4 per cent.
That was the conclusion of Investec, a broker for Superdry until the co-founder Julian Dunkerton's return to the firm prompted a boardroom clear out earlier this year.
The business analyst's comments came just before today's AGM for the Cheltenham firm, which began this morning.
Indeed, Investec urged investors - many of whom are expected to be either at the AGM or watching very closely - to sell their shares as the retailers target price was cut from 490 pence to 370 pence.
Shares are reported to have fallen by 22.6 pence to 395.2 pence.
Mr Dunkerton himself has blamed the strategy of previous management as the root of the now world-wide firm's problems and admitted it would take time to revive its fortunes.
Quoted on Thisismoney.co.uk Kate Calvert, of analysts Investec, said: "A deep dive into historic financials shows multiple negative trends across divisions and regions which suggest its brand/strategic issues date back further than the last 18 months. A more radical restructuring is needed."
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