Aeffe S.p.A., the Consumer Cyclical sector company, was revisited by a Wall Street analyst yesterday. Analyst Chiara Rotelli from Mediobanca maintained a Hold rating on the stock and has a €0.45 price target.
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Chiara Rotelli’s rating is based on Aeffe S.p.A.’s recent financial performance and strategic initiatives. The company reported a significant decline in revenues, with a 27.7% year-over-year drop in the first half of 2025, leading to a net loss of approximately €30 million. This decline was more pronounced in the second quarter, with revenues falling by 34% compared to the previous year. The performance was weak across all geographic regions, with Italy, a major market for Aeffe, experiencing a 31% decline in revenues.
Despite the challenging financial results, Aeffe has initiated a cost optimization plan aimed at returning to profitability by 2026. This plan includes restructuring the supply chain, reducing costs, and closing underperforming stores. While these measures are expected to yield financial benefits, the execution risks associated with the turnaround plan contribute to the Hold rating. The company’s future performance will depend on the successful implementation of these strategies, and the revised target price reflects these uncertainties.
According to TipRanks, Rotelli is a 2-star analyst with an average return of 16.2% and a 100.00% success rate.
In another report released on August 25, TR | OpenAI – 4o also reiterated a Hold rating on the stock with a €0.50 price target.