Inditex Price Target Raised as Berenberg Notes 'Perennially Attractive' Margin Profile

10:20 AM EST, 12/04/2025 (MT Newswires) -- Berenberg boosted its price target for Industria de Diseño Textil (ITX.MC), d/b/a Inditex, to 62 euros from 52 euros, highlighting the Spanish retailer's robust fiscal third-quarter results and strong start to the next quarter. "We find the defensive nature and high-quality margin profile of Inditex perennially attractive. This is backed by the company's business model, featuring predominantly short lead times and distribution accuracy, thanks to centralised inventory held in a few, very large, logistics facilities that are based almost entirely in Spain," analysts wrote Thursday. "Currently, constant currency (cc) sales growth is running at around the upper end of the company's long-term guidance range of 6-8%. We see a number of growth drivers supporting the investment case, many of which could be sustainable into the medium term." The research firm updated its financial estimates for fiscal years 2026 to 2028, including "small positive changes" to its EBIT estimates over the three years. Over the medium term, the annual constant currency growth forecast was increased to 5% from 4%. The buy rating on the stock was reaffirmed.