Boohoo downgraded to Hold from Buy at Stifel

Stifel analyst Caroline Gulliver downgraded Boohoo to Hold from Buy with a price target of 40 GBp, down from 165 GBp. While Gulliver fundamentally likes boohoo’s strategy of owning a portfolio of brands and leveraging the group’s infrastructure, the declining Q2 sales trend in both the U.K. and U.S. "was a shock" and she has concluded "that there is neither the profitability nor cash flow" in FY24 to support a Buy rating in the near-term, the analyst tells investors.