Maintained Outperform By BMO Capital Markets Following FQ3Aritzia Maintained at Outperform By BMO Capital Markets Following FQ3 Results; Price Target Kept at C$60.00 11:35AM ET on Thursday Jan 12, 2023 by MT Newswires
11:35 AM EST, 01/12/2023 (MT Newswires) -- BMO Capital Markets on Thursday reiterated its outperform rating on the shares of Aritzia (ATZ.TO) and its C$60.00 price target after the clothing retailer reported record fiscal third-quarter revenue.
"Strong topline growth momentum continued in Q3/23 (revenue +38%, adj. EBITDA +10%). Growth has continued into Q4 across all geographies and channels, leading to increased 2023E revenue guidance. The U.S. was again a key growth driver (+58%) and presents significant opportunity. While inventory was elevated, this is not expected to lead to higher promotional activity. We continue to view Aritzia as an attractive consumer growth story, well-positioned to execute on its significant U.S. growth opportunity, with ample liquidity, strong omnichannel, and a loyal employee and client base," analyst Stephen MacLeod wrote.