Connect with us

Hi, what are you looking for?


What made Superdry stock lose 15% on Friday?

Superdry PLC (LON: SDRY) ended more than 15% down today after reiterating plans of raising equity capital to improve its balance sheet.

Superdry stock down on withdrawn outlook

On Friday, the clothing brand said it wanted to issue new equity for up to 20% of its share capital. Superdry also confirmed that the said equity raise will be backed by its Founder and Chief Executive Julian Dunkerton.

My belief in the Superdry brand is stronger than ever. I’m confident that we have the right plan and the business will emerge from the current turbulence stronger than ever.

Analysts at Jefferies expressed disappointment in today’s announcement. Superdry stock is down also because it withdrew its previous guidance for “broadly breakeven” profit this year.

Versus its year-to-date high, this U.K. stock is down about 45%.

Superdry PLC has identified cost savings

Superdry PLC now forecasts £615 million to £635 million in revenue for 2023 as the cost-of-living crisis push consumers into limiting non-essential expense, as per the trading update. CEO Dunkerton added:

There’s no doubt that market conditions are challenging, compounded by issues we have previously disclosed and are working to address in wholesale. We need to ensure our business is in right shape to navigate these difficult times.

To that end, he added, Superdry has identified £35 million worth of cost savings that could materially boost its underlying profitability. The London-listed firm expects those savings to realise by the end of FY24.

Wall Street currently has a consensus “hold” rating on Superdry stock.

The post What made Superdry stock lose 15% on Friday? appeared first on Invezz.

Enter Your Information Below To Receive Free Trading Ideas, Latest News And Articles.

    Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!

    You May Also Like

    Latest News

    As the United States continues to grapple with the ongoing immigration crisis, the House and Senate have found themselves at odds over how to...

    Latest News

    As the world continues to grapple with the COVID-19 pandemic, the global economy is facing unprecedented challenges. In the United States, President Joe Biden...

    Latest News

    Rep. Jennifer Wexton (D-Va.) announced on Tuesday that she has been diagnosed with Parkinson’s Disease. “If there’s one thing that Democrats and Republicans can...

    Latest News

    After Dianne Feinstein announced she’d contracted the shingles in early March, her staff said she planned to return to the Senate within a matter...

    Disclaimer:, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2023 All Rights Reserved.