Richemont re-initiated with a Buy at Jefferies

Jefferies re-initiated coverage of Richemont with a Buy rating and CHF 140 price target. The firm relaunched coverage of the European luxury brands sector with just two Buy ratings. The analyst says demand risks in the U.S. and Europe remain unclear, and the lack of recovery in Chinese aspirational spend “frustrates.” Investor concerns “are unlikely to be soothed ahead of the promise of a return in Chinese mass travel becoming easier to model,” the analyst tells investors in a research note.