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Prada (PRDSY)
OTHER OTC:PRDSY
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Prada (PRDSY) AI Stock Analysis

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PRDSY

Prada

(OTC:PRDSY)

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Outperform 70 (OpenAI - 5.2)
Rating:70Outperform
Price Target:
$12.50
▲(26.65% Upside)
Action:Upgraded
Date:05/30/26
The score is driven primarily by strong underlying profitability and generally solid cash generation, balanced by higher 2025 leverage, slight revenue contraction, and weaker cash conversion. Valuation is supportive with a modest P/E and strong dividend yield, while technicals remain neutral-to-weak due to longer-term downtrend signals and subdued momentum.
Positive Factors
High margins / pricing power
Prada's very high gross margins and strong operating margins reflect durable pricing power and premium brand positioning. These margins provide structural resilience through cycles, fund marketing and product investment, and sustain operating cash generation even if top-line growth slows.
Negative Factors
Rising leverage
A sharp increase in leverage to ~1.04 reduces financial flexibility and raises interest and refinancing risk. Higher net debt makes the company more vulnerable to demand shocks or weaker tourism/retail cycles and constrains options for opportunistic M&A or buybacks.
Read all positive and negative factors
Positive Factors
Negative Factors
High margins / pricing power
Prada's very high gross margins and strong operating margins reflect durable pricing power and premium brand positioning. These margins provide structural resilience through cycles, fund marketing and product investment, and sustain operating cash generation even if top-line growth slows.
Read all positive factors

Prada (PRDSY) vs. SPDR S&P 500 ETF (SPY)

Prada Business Overview & Revenue Model

Company Description
Prada S.p.A., alongside its various subsidiaries, is a global enterprise specializing in the design, production, and distribution of luxury items. Its primary offerings include leather goods, handbags, footwear, apparel, and accessories, which it ...
How the Company Makes Money
Prada makes money primarily by selling luxury goods under its brands through a mix of directly operated retail and wholesale channels. The largest revenue stream comes from the sale of products such as leather goods, ready-to-wear apparel, footwea...

Prada Financial Statement Overview

Summary
Strong profitability (gross margin near ~80% and operating margin ~22–24% in 2023–2025) and generally solid cash generation. Offsetting this, 2025 saw slightly negative revenue growth (-2.3%), weaker cash conversion versus 2024, and a sharp increase in leverage (debt-to-equity ~1.04), raising financial risk if demand softens.
Income Statement
82
Very Positive
Balance Sheet
68
Positive
Cash Flow
74
Positive
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue6.06B5.49B5.43B4.73B4.20B3.37B
Gross Profit4.81B4.41B4.34B3.80B2.63B2.55B
EBITDA2.15B2.05B2.01B1.29B1.06B687.63M
Net Income795.95M818.31M838.91M671.03M465.19M294.25M
Balance Sheet
Total Assets10.89B11.01B8.55B7.62B7.35B6.96B
Cash, Cash Equivalents and Short-Term Investments1.02B1.26B1.01B689.52M1.09B981.79M
Total Debt4.83B4.82B2.79B2.60B2.67B2.79B
Total Liabilities6.28B6.34B4.13B3.74B3.86B3.83B
Stockholders Equity4.58B4.64B4.40B3.86B3.47B3.11B
Cash Flow
Free Cash Flow1.09B1.00B1.19B395.61M868.84M923.90M
Operating Cash Flow1.70B1.59B1.65B1.16B1.11B1.14B
Investing Cash Flow-1.79B-1.75B-462.45M-759.19M-250.21M-137.26M
Financing Cash Flow463.85M431.92M-875.47M-775.73M-787.38M-494.73M

Prada Technical Analysis

Technical Analysis Sentiment
Positive
Last Price9.87
Price Trends
50DMA
10.15
Positive
100DMA
9.73
Positive
200DMA
10.38
Positive
Market Momentum
MACD
0.33
Negative
RSI
62.66
Neutral
STOCH
91.17
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PRDSY, the sentiment is Positive. The current price of 9.87 is below the 20-day moving average (MA) of 10.53, below the 50-day MA of 10.15, and below the 200-day MA of 10.38, indicating a bullish trend. The MACD of 0.33 indicates Negative momentum. The RSI at 62.66 is Neutral, neither overbought nor oversold. The STOCH value of 91.17 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PRDSY.

Prada Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
74
Outperform
$22.64B24.6734.77%1.00%14.63%29.96%
70
Outperform
$14.12B15.4517.31%3.98%14.96%1.15%
68
Neutral
$6.23B34.4710.25%0.96%2.91%29.96%
67
Neutral
$30.79B46.45106.44%1.12%14.13%-15.62%
67
Neutral
$14.11B9.6331.26%4.22%-15.57%
65
Neutral
$4.00B26.033.25%0.19%3.54%-55.30%
61
Neutral
$18.38B12.79-2.54%3.03%1.52%-15.83%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
PRDSY
Prada
11.24
1.17
11.66%
TPR
Tapestry
162.36
55.77
52.33%
LULU
Lululemon Athletica
128.58
-57.86
-31.03%
PVH
PVH
87.58
15.87
22.14%
RL
Ralph Lauren
395.53
110.05
38.55%
ZGN
Ermenegildo Zegna
14.91
7.28
95.44%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: May 30, 2026