Cut From Sartori's Cloth; Driving A Strong Q2

Research evidence excerpt

Cut From Sartori's Cloth; Driving A Strong Q2

Italy | Luxury Brands

Ermenegildo Zegna Group EquityJuneResearch24, 2026

TARGET CHANGECut From Sartori's Cloth; Driving A Strong Q2

We look to the 23 July Q2 sales update to confirm Zegna Group's ultra-lux RATING BUY

credentials. We forecast a slight sequential acceleration in organic growth PRICE $13.12^

momentum notwithstanding the volatile macro backdrop, which in turn PRICE TARGET | % TO PT $15.00 ($14.75) | +14%

should underwrite the group’s ability to expand margin at H1 results on 3 52W HIGH-LOW $15.44 - $7.61

Sep. We make minor tweaks to estimates and remain c.4% above cons on FLOAT (%) | ADV MM (USD) 27.9% | 15.72

FY27 earnings. Raise PT to $15, to place ZGN on c.24x CY27 PE (vs c.21x MARKET CAP $3.4B

JEFe now); reiterate Buy. TICKER ZGN

^Prior trading day's closing price unless otherwise

noted.

The group should enjoy a sequential acceleration in Q2. We learnt in Q1 of a solid start to Q2.

We presume there has since been a slight acceleration in the back end of the quarter, helped

by ME improving by month. We now anticipate group org growth of +7.6% (cons +6.9%) after FY (Dec) CHANGE TO JEFe JEF vs CONS

+7.4% in Q1. 2026 2027 2026 2027

REV NM NM +1% +3%

ZEGNA brand remains strong, TFF improves, TB slows... From our side key Q2 highlights EPS NA NA +2% +4%

include:

2026 (€) Q1 Q2 Q3 Q4 FY

Group org Q2 growth of +7.6% to €496m (vs cons at +6.9% to €494m);• EPS -- -- -- -- 0.42

Divisionally Q2 org growth across Zegna branded DTC at +13% (cons +12%), and• PREV

wholesale -12%;

Q2 Tom Ford Fashion DTC org growth at +10% (cons +9%) with wholesale -11%;•

Q2 Thom Browne DTC org growth at +10% (cons +12%), with wholesale -18%; this DTC•

slowdown due to the lack of the Asics collab help seen in Q1, but slightly counteracted