Unifi Inc: Rises as Northland Capital initiates coverage with 'outperform'
15/12/2020 15:58
** Shares of textile products maker UFI.N up 3.8% at
$17.90 after Northland Capital (NC) initiates coverage with
'outperform' rating; PT at $21
** NC believes post-pandemic, demand for apparel should
increase as people return to activities outside the home,
driving demand for UFI products
** Expects apparel made from recycled material will see
strong demand
** NC expects gross margin expansion driven by duties on
imports from China and India, manufacturing efficiencies and
premium pricing for recycled material
** Brokerage believes gross margin is key driver to earnings
power and trends look very favorable
** Up to last close, UFI shares are down 31.74% YTD
(Reporting by Lasya Priya M in Bengaluru)
((LasyaPriya.M@thomsonreuters.com;))