Analyst Andrew Wade of Jefferies maintained a Buy rating on Frasers Group (FRAS – Research Report), retaining the price target of p1,200.00.
Andrew Wade has given his Buy rating due to a combination of factors that highlight Frasers Group’s strategic growth initiatives. The company has announced a significant retail partnership with Accent Group, aiming to open 100 stores in Australia and New Zealand. This expansion is a testament to Frasers’ commitment to building its presence in the ANZ region and demonstrates its ability to leverage strategic investments effectively.
Frasers Group has increased its stake in Accent Group to approximately 20%, using the proceeds to fund the Sports Direct roll-out in the region. This move not only strengthens their market position but also showcases their capability to form valuable partnerships and utilize their strong relationships with major brands like Nike and Adidas. The strategic investment approach adopted by Frasers is expected to add significant value to the company, supporting Andrew Wade’s positive outlook on the stock.