Pets at Home (PETS – Research Report), the Consumer Cyclical sector company, was revisited by a Wall Street analyst today. Analyst Andrew Wade from Jefferies maintained a Buy rating on the stock and has a p375.00 price target.
Andrew Wade has given his Buy rating due to a combination of factors that suggest potential growth for Pets at Home despite some challenges. The company has reported that its performance in the fourth quarter was largely in line with expectations, with the Retail segment experiencing a slight decline similar to the previous quarter. Although the outlook for FY26 indicates a challenging environment with subdued consumer demand and inflationary pressures, the Vet business is anticipated to continue making progress, albeit at a slower rate.
Wade notes that while the need to reset FY26 expectations might be disappointing, it is not unexpected given the external cost pressures and slower retail growth. However, there are positive developments that support the Buy rating, such as the anticipation of positive like-for-like sales in Retail for FY26, the accelerated opening of new Vet practices, and the potential growth opportunity in the new Insurance proposition. These factors collectively suggest that Pets at Home is positioned to navigate the current challenges and achieve growth in the future.
According to TipRanks, Wade is ranked #3182 out of 9392 analysts.