By Scott Kanowsky
Investing.com — H & M Hennes & Mauritz AB B (ST:) has seen its outlook raised by analysts once more after the quick style large posted a better-than-expected revenue within the first quarter.
Analysts at Morgan Stanley bumped up their ranking to equal-weight from underweight, citing margin enhancements on the Swedish agency that helped offset weaker top-line development.
It marks the most recent in a sequence of upgrades for H&M, with analysts at Danske Financial institution and Credit score Suisse additionally not too long ago lifting their respective rankings of the inventory.
Final week, H&M reported a shock revenue for the three months ended on February 28 of SEK 725 million (SEK 1 = $0.0973). Bloomberg estimates had seen the determine slumping to a lack of SEK 1.03B.
Quarterly gross margin of 47.2% dipped versus the primary quarter of 2022 because of elevated buying prices and a robust U.S. greenback, though it nonetheless topped projections of 45.8%.
In the meantime, moved up by 3% year-on-year on a neighborhood foreign money foundation to SEK 54.87B, however the uptick was beneath Bloomberg forecasts of 4.21%.