Analyst Andrew Wade from Jefferies maintained a Buy rating on THG (THG – Research Report) and keeping the price target at p65.00.
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Andrew Wade has given his Buy rating due to a combination of factors, including THG’s recent trading update which indicates a return to growth in Q2 revenue, particularly in the Beauty and Nutrition sectors. This positive trend has led to the reaffirmation of the FY25 guidance, suggesting stability and potential for upward movement in the stock.
Furthermore, the Nutrition segment has shown significant improvement, with Q2 growth projected between 5-7%, marking the fastest progress since early 2022. This growth is driven by successful offline and licensing channels, expansion in the EU and Asia, and a substantial increase in US market presence. These developments, along with anticipated growth in average selling prices, are expected to continue supporting THG’s performance in the coming quarters.
Based on the recent corporate insider activity of 8 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 THG in relation to earlier this year.