Goldman Sachs ups SMCP to 'neutral' on better net debt position

Smcp SA

14/03/2022 08:21

** Goldman Sachs upgrades French fashion group SMCP
 SMCP.PA  to "neutral" from "sell" on the back of full-year
results, notably an improved net debt position
    ** GS says better-than-expected FY net debt at EUR 318 mln
($347.96 mln) and updated valuation assumption drive its target
price to EUR 8.3 compared with EUR 6.3 previously
    ** The broker raises its FY 2022/23 EPS estimate by 3% and
9% respectively
    ** It adds sales in Russia and Ukraine are made through
distribution agreements with local operators and represent less
than 1% of group revenues
    ** SMCP said last week it would suspend deliveries to
Russia, where a local company operates around 40 stores under
its brands  urn:newsml:reuters.com:*:nS8N2MH022
    ** SMCP shares are up 6.2%

($1 = 0.9139 euros)

 (Reporting by Federica Mileo in Gdansk)
 ((Federica.mileo@thomsonreuters.com))