Changes in Hong Kong stocks | Prada (01913) fell more than 5% in early trading, Damo expects Miu Miu brand growth rate to slow significantly

The Zhitong Finance App learned that Prada (01913) fell more than 5% in early trading. As of press release, it was down 4.8% to HK$44.84, with a turnover of HK$13.084 million.

Morgan Stanley released a research report saying that in a new wave of creativity in the luxury fashion industry, it will be difficult for Prada to maintain its growth momentum. The bank pointed out that the Prada brand's momentum is still quite steady, but the Miu Miu brand growth rate is expected to slow further significantly. It is expected to grow by only 17% year-on-year in the fourth quarter, while Miu Miu grew 29% year-on-year in the third quarter of this year and 49% in the first half of this year.

Citi, on the other hand, expects Prada's sales for the fourth quarter of fiscal year 2025 to increase 6% year over year and drop 1% to 1.59 billion euros according to the report; retail sales by brand are expected to be flat year over year (down 1% in the third quarter), while Miu Miu is expected to increase 20% year over year (increase 29% in the third quarter); EBIT is expected to drop 3% year on year to 685 million euros in the second half of the year, and the EBIT profit margin narrowed by 100 basis points year on year to 23.4% year on year.