Aeffe S.p.A. Hold Rating Amid Revenue Decline and Cost Optimization Efforts

In a report released on May 15, Arianna Terazzi from Intesa Sanpaolo maintained a Hold rating on Aeffe S.p.A. (0GY8 – Research Report), with a price target of €0.67.

Arianna Terazzi’s rating is based on a combination of factors impacting Aeffe S.p.A.’s financial outlook. The company has confirmed its FY25 targets, focusing on cost efficiencies to improve profitability compared to FY23. However, there is a significant decrease in both wholesale and retail revenues, largely due to a global economic slowdown, which has affected the company’s performance across all regions.
Despite efforts to optimize costs and integrate brands to streamline operations, there remains uncertainty in the retail revenue outlook. The management’s strategy includes rationalizing costs and supporting specific product categories, such as Moschino’s leather goods, while also planning further asset disposals. Given these challenges and the limited visibility on revenue recovery, Arianna Terazzi has maintained a Hold rating, reflecting a cautious stance amid the current macroeconomic environment.

In another report released on May 12, Mediobanca also maintained a Hold rating on the stock with a €0.72 price target.

0GY8’s price has also changed moderately for the past six months – from EUR0.754 to EUR0.610, which is a -19.10% drop .