Berenberg lowers target price on Victoria.


Analysts at Berenberg cut their target price on floorings business Victoria from 100p to 60p on Monday after the group's unscheduled year-to-date trading update earlier in the morning.

Victoria plc

Source: Sharecast

Berenberg said that overall, the statement notes that year-on-year revenues had improved in Q3 versus H1, but also pointed out that trading in January was "rather weak" due to a variety of consumer-related factors.

As a result, Victoria has now forecast FY26 underlying earnings of roughly £95m, versus a prevailing consensus of around £110m.

"We update our forecasts for the update, resulting in 9-14% cuts to underlying EBITDA across the forecast period. The business remains heavily indebted and is ultimately waiting for the flooring market to turn more positive," said Berenberg, which has a 'buy' rating on the stock.

The German bank also noted that the numbers themselves "certainly reflect the ongoing subdued conditions" in many of Victoria's end-markets.

Berenberg said Victoria's shares trade on 12.2x FY27 EBITDA.

Reporting by Iain Gilbert at Sharecast.com


ISIN: GB00BZC0LC10
Exchange: London Stock Exchange
Sell:
36.30 p
Buy:
37.00 p
Change: 0.25 ( 0.68 %)
Date:
Prices delayed by at least 15 minutes

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