Teleflex stock price target raised to $135 from $130 at RBC Capital
The price target is derived from a discounted cash flow (DCF) model and implies a 25 times multiple on the fiscal year 2026 EPS of €12 per share. With the EPS upgrade of 8%, the price target has been adjusted upwards, reaffirming Deutsche Bank (ETR:DBKGn)'s Buy recommendation for Adidas (OTC:ADDYY) stock. Investors should note that the company's next earnings report is scheduled for March 5, 2025. For deeper insights into Adidas's valuation metrics and comprehensive analysis, InvestingPro subscribers can access the detailed Pro Research Report, which is part of the platform's coverage of over 1,400 top stocks. Investors should note that the company's next earnings report is scheduled for March 5, 2025. For deeper insights into Adidas's valuation metrics and comprehensive analysis, InvestingPro subscribers can access the detailed Pro Research Report, which is part of the platform's coverage of over 1,400 top stocks.
The price target is derived from a discounted cash flow (DCF) model and implies a 25 times multiple on the fiscal year 2026 EPS of €12 per share. With the EPS upgrade of 8%, the price target has been adjusted upwards, reaffirming Deutsche Bank's Buy recommendation for Adidas stock. Investors should note that the company's next earnings report is scheduled for March 5, 2025. For deeper insights into Adidas's valuation metrics and comprehensive analysis, InvestingPro subscribers can access the detailed Pro Research Report, which is part of the platform's coverage of over 1,400 top stocks.
The analyst has raised EPS expectations for Adidas by 7% for the fiscal year 2025 and by 9% for the fiscal year 2026, largely due to increased sales forecasts. This adjustment is a result of the evident brand appeal as the fourth quarter closed, leading to a revised underlying constant currency (cFX) sales growth forecast of approximately 13% for the fiscal year 2025, up from 10%, and about 10.5% for the fiscal year 2026, up from 9%.
Despite the improved sales outlook, the earnings before interest and taxes (EBIT) margin expectations for Adidas remain unchanged at 8.8% for the fiscal year 2025, which is a 220 basis point increase, and 10.8% for the fiscal year 2026, marking a further 200 basis point increase. Cochrane notes that the better sales growth could lead to arguments for increased operational leverage.
The price target is derived from a discounted cash flow (DCF) model and implies a 25 times multiple on the fiscal year 2026 EPS of €12 per share. With the EPS upgrade of 8%, the price target has been adjusted upwards, reaffirming Deutsche Bank's Buy recommendation for Adidas stock.
In other recent news, adidas has reported a 19% increase in Q4 2024 revenues, and a significant improvement in its full-year profits. The company's operating profit for the quarter was €57 million, a substantial turnaround from the €377 million operating loss in 2023. For the full year 2024, adidas's revenues rose by 12% to €23,683 million, with the operating profit reaching €1,337 million. Bernstein analysts have upgraded the adidas stock from 'Market Perform' to 'Outperform', setting a new price target of EUR300.00. This decision is based on research indicating that adidas is poised to sustain its growth trajectory into 2024.
The adidas headquarters has been searched again as part of an ongoing European Union tax investigation, examining alleged tax irregularities amounting to €1.1 billion. Despite this, adidas does not anticipate a significant financial impact from the matter. In other developments, a Bernstein analysis revealed a significant 11.9% drop in November retail sales of Pou Sheng International Holdings Ltd., a major wholesale partner for adidas in China. However, adidas has shown resilience in this environment, with a 19.88% year-to-date price return, demonstrating investor confidence in the company's strategy. These are among the recent developments shaping the future of adidas.
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