EU and US could reach trade deal this weekend - Reuters
On Friday, Deutsche Bank (ETR:DBKGn) analyst Steve Liechti revised the price target for Bloomsbury Publishing PLC (BMY:LN) to GBP7.00, down from the previous GBP7.96, while retaining a Buy rating on the stock. The adjustment follows the company’s fiscal year 2025 results, which highlighted sustained positive narrative momentum and diversification benefits for the publisher.
Liechti’s commentary acknowledged Bloomsbury’s continued success story and the advantages of its diversification strategy. However, he noted the absence of information regarding the next release from bestselling author Sarah J Maas and pointed out the ongoing challenges faced by the Academic & Professional division, particularly due to academic pressures in the UK and US markets, beyond the general decline in print.
Despite the lowered price target, Deutsche Bank sees enduring value and defensive growth potential in Bloomsbury Publishing. Liechti pointed out three key areas that could support the company’s growth: the opening of a new office in Singapore to enhance the positioning of Academic & Professional and Bloomsbury Digital Resources in a rapidly expanding academic market; Bloomsbury’s openness to AI deals, with increased interest from digital and language learning model operators seeking high-volume, quality backlist content, while emphasizing the importance of protecting author rights; and the confirmation that tariffs are not a concern for books, coupled with Bloomsbury’s proven agility in navigating past supply chain crises, suggesting a limited near-term threat.
The report by Deutsche Bank reflects a mix of Bloomsbury’s recent performance and future prospects, with a focus on the company’s strategic initiatives to mitigate challenges and capitalize on new opportunities in the publishing industry.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.