Adore Beauty's Update Prompts Bull to Walk Away -- Market Talk
Dow Jones
May 26
0055 GMT - Adore Beauty's trading update costs the Australian retailer its bull at Bell Potter. Lowering his recommendation to hold from buy, analyst Leo Armati slashes his earnings forecasts for the next three years by as much as 50%. He tells clients in a note that a conservative sales outlook and higher operating expenses from wage rises weigh on his Ebitda expectations, even with the company generating savings including from a recent head-office restructure. Lower peer multiples also prompt Armati to lower his FY27 EBIT multiple to 10 from 12.5. Bell Potter cuts its target price by 61% to 39 Australian cents. Shares are down 4.4% at A$0.325. (stuart.condie@wsj.com)
(END) Dow Jones Newswires
May 25, 2026 20:55 ET (00:55 GMT)
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