LuxExperience: Margin Upside and Operational Efficiencies Underpin Buy Rating and $11 Target

In a report released today, Oliver Chen from TD Cowen maintained a Buy rating on LuxExperience, with a price target of $11.00.

Oliver Chen’s rating is based on an improved profitability outlook and operational efficiencies that support upside in LuxExperience’s equity value. He highlights better-than-previously-expected gross margin prospects by FY26, driven largely by a greater mix of full-price sales at the MYTHERESA business, which should enhance overall earnings quality and resilience.

He also points to ongoing technology integration at Net-a-Porter and Mr Porter as a source of selling, general, and administrative expense leverage, turning what was a projected EBITDA loss into a modest gain. Despite these revisions, Chen keeps his $11 price target intact, anchored on a 16x multiple applied to his updated FY27 EBITDA estimate of €54 million, signaling confidence that the company’s margin and efficiency improvements will translate into meaningful shareholder value. Together, these factors underpin his Buy recommendation on LuxExperience (LUXE).

Based on the recent corporate insider activity of 20 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of LUXE in relation to earlier this year.