Strong Market Position and Financial Performance Drive Buy Rating for Birkenstock Holding plcWe do not believe that the 3Q25 DTC sales results, which missed consensus expectations by 5.2% is indicative of anything but a shift to in-store shopping. Further, Birkenstock is gaining traction with young, generally sneaker focused consumers who tend to shop in multi- branded stores. Such traction has resulted in a 25% increase in sell through rates, high-teen comps, and MSD-HSD increases in ASPs, and DD units sales growth at many key accounts that serve teen consumers. While management did not reference specific retailers, our checks indicate that stores such as Journeys (GCO-NR), Scheels (Private), JD Sport (JD/LON-NR), and other multi-branded retailers that appeal to teens are driving strong DD YoY increases.