Inditex SA: Shares priced for continued delivery (1Q preview)

研报英文原文证据摘录

Inditex SA: Shares priced for continued delivery (1Q preview)

Equity Research

29 May 2026

Inditex SA

Shares priced for continued

delivery (1Q preview)

Key expectations: +8% 1Q sales (vs BBG +9%), slowing ITX.MC/ITX SM EQUAL WEIGHT

through the quarter on tougher comps/weather. Current Unchanged

trading ≥+8% to meet expectations. Assume modest GM European General Retail UnchangedNEUTRAL

expansion (+40bps) with operating leverage driving +9% EBIT Price Target EUR 56.00

(to €1.78bn). Valuation in line with history but below pre-war. raised 2% from EUR 55.00

EW, PT €56. Price (28-May-26) EUR 53.76 Potential Upside/Downside +4.2%

Source: Bloomberg, Barclays Research

Inditex will report 1Q26 results on 3 June, covering February to April, with a current trading

update for May. 1Q is typically the least important quarter in terms of sale and profit Market Cap (EUR mn) 167551

contribution (c. 20% of FY). Shares Outstanding (mn) 3116.65

Free Float (%) 35.65

Local currency sales grew +9% in the first five weeks of 1Q – we expect a slowdown to c. +7.0% 52 Wk Avg Daily Volume (mn) 2.4

in the final eight weeks on slightly tougher comps and unsupportive weather (for +8% in 1Q Dividend Yield (%) 2.23

overall vs Bloomberg +9%). Into May, comps appear consistent with March/April, weather may Return on Equity TTM (%) 31.04

be sequentially more supportive (heat wave in late May, potential pent-up demand), but Current BVPS (EUR) 6.54

elevated fuel prices and subdued consumer confidence may weigh on spend. We think growth Source: Bloomberg

of at least +8% in May will be needed to satisfy the market (Bloomberg at +8.5% for 2Q overall).

Price Performance Exchange-MCOn 1Q profits, conviction on gross margin is low, but we assume +40bps expansion (vs c. +80bps