Jefferies has reduced its price target for Douglas AG (DOU:GR) from €16.00 to €14.00 while keeping a ‘buy’ rating intact.
Modest Growth Outlook Drives Change
The adjustment reflects expectations of 1-3% annual growth in sales and adjusted EBITDA over the next three years. Key factors include cautious consumer sentiment from high interest rates, looming economic slowdowns, and the return of Parfumdreams to the top 10 customer list.
Douglas aims to address subdued spending through its efficient two-minute checkout system, enhancing the shopping experience for budget-conscious buyers.
Even based on discounted cash flow models, the ‘buy’ recommendation holds. Douglas trades at a forward price-to-earnings ratio of about 7x for fiscal 2025/26, versus its current 21.94x multiple. This valuation implies roughly 65% upside potential compared to Ulta Beauty.
Ulta Beauty Faces Shifting Analyst Views
Ulta Beauty maintains premium multiples thanks to robust long-term growth in drugstore and beauty operations. Yet, the sector grapples with deeper challenges from interest rate sensitivity.
Jefferies shifted Ulta Beauty from ‘buy’ to ‘hold’ due to slowing sales momentum and adjusted its target price downward to $700.
UBS rescinded its ‘buy’ rating, revalidating a $810 target while elevating risk assessments in its latest note.
Piper Sandler upheld an ‘overweight’ stance with a $725 target after the Beauty World conference, citing solid management execution.
DA Davidson withdrew ‘buy’ coverage, cutting its target to $650 following comparisons to Sephora and Amazon best-seller performance.
Oatly Group Plans Annual Shareholder Meeting
Oatly Group AB schedules its annual general meeting for May 20, 2026. Relevant documents will appear on the company’s investor website, with details shared via official channels.
