Intesa Sanpaolo analyst Alberto Francese maintained a Hold rating on Elica S.p.A. yesterday and set a price target of €1.70.
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Alberto Francese has given his Hold rating due to a combination of factors related to Elica’s current positioning and outlook. The company is successfully transforming into a broader cooking player, with direct distribution in North America and growth in both cooking and motor divisions supporting revenues despite weak end markets.
However, this strategic shift is weighing on profitability, as higher promotional activity, an adverse price-mix, and transformation costs have compressed margins. While forecasts indicate gradual margin recovery and a solid balance sheet, persistent demand softness, sector overcapacity, and uncertainties in the U.S. DIY OEM channel limit near‑term upside, justifying a Neutral stance at the new EUR 1.70 target price.