Analyst Giada Cabrino of Intesa Sanpaolo maintained a Buy rating on Franchi Umberto Marmi SpA, with a price target of €8.40.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Giada Cabrino has given her Buy rating due to a combination of factors that suggest potential for future growth despite current challenges. The first half of 2025 saw a decline in sales, largely due to trade tensions and international instability, which affected demand, particularly in the US and delayed projects globally. However, the company is well-positioned to capitalize on a rebound in luxury marble demand, which is expected to recover in the latter half of 2026.
Despite the current soft market conditions, Franchi Umberto Marmi SpA has shown resilience in past years, maintaining high profitability since 2020. The company’s strategic inventory management and improved product mix, with increased sales of premium products like Calacatta and Statuario, provide a strong foundation for future growth. The revised target price of EUR 8.4, based on a discounted cash flow model, supports the Buy rating, indicating confidence in the company’s long-term prospects.
FUM’s price has also changed moderately for the past six months – from EUR5.250 to EUR4.310, which is a -17.90% drop .