Dunelm Group (LON:DNLM) Price Target Lowered to GBX 1,000 at Deutsche Bank Aktiengesellschaft

Key Points

• Deutsche Bank cut Dunelm Group’s price target from GBX 1,050 to GBX 1,000 but maintained a “buy” rating, implying 33.69% upside from the previous close.
• Analyst sentiment remains broadly positive: eight analysts rate the stock “buy” and one rates it “sell,” producing a “Moderate Buy” consensus and an average target of GBX 1,117.22.
• Dunelm shares opened at GBX 748, near the lower end of their GBX 707–1,174 one-year range; the company reported quarterly EPS of GBX 77 and a net margin of 8.29%.

Dunelm Group (LON:DNLM - Get Free Report) had its target price reduced by stock analysts at Deutsche Bank Aktiengesellschaft from GBX 1,050 to GBX 1,000 in a note issued to investors on Wednesday, Digital Look reports. The brokerage presently has a "buy" rating on the stock. Deutsche Bank Aktiengesellschaft's price target indicates a potential upside of 33.69% from the stock's previous close.

A number of other research analysts have also recently commented on DNLM. Berenberg Bank reissued a "buy" rating and set a GBX 1,200 target price on shares of Dunelm Group in a research report on Wednesday. Shore Capital Group reaffirmed a "buy" rating and set a GBX 1,000 price target on shares of Dunelm Group in a report on Tuesday. Finally, JPMorgan Chase & Co. dropped their price target on shares of Dunelm Group from GBX 1,225 to GBX 1,050 and set an "overweight" rating on the stock in a research note on Wednesday. Eight equities research analysts have rated the stock with a Buy rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus target price of GBX 1,117.22.

Dunelm Group Stock Performance

Shares of LON:DNLM opened at GBX 748 on Wednesday. The company has a market cap of £1.51 billion, a P/E ratio of 10.18, a PEG ratio of -10.32 and a beta of 0.97. The company has a debt-to-equity ratio of 175.79, a quick ratio of 0.16 and a current ratio of 0.83. Dunelm Group has a one year low of GBX 707 and a one year high of GBX 1,174. The business's 50-day simple moving average is GBX 858.19 and its 200 day simple moving average is GBX 833.50.

Dunelm Group (LON:DNLM - Get Free Report) last released its quarterly earnings results on Tuesday, September 8th. The company reported GBX 77 EPS for the quarter. Dunelm Group had a return on equity of 105.88% and a net margin of 8.29%. On average, sell-side analysts forecast that Dunelm Group will post 77.0957096 earnings per share for the current fiscal year.

Trending Headlines about Dunelm Group

Here are the key news stories impacting Dunelm Group this week:

• Positive Sentiment: Analyst support remains strong: Berenberg reaffirmed its “buy” rating and set a GBX 1,200 price target, implying substantial upside from recent levels.
• Positive Sentiment: Shore Capital also remains bullish, reiterating its “buy” rating with a GBX 1,000 target.
• Positive Sentiment: Operational performance was mixed but resilient: Dunelm reported improved revenue and increased its dividend, supporting the investment case for income-focused shareholders. Dunelm Group Full-year Profit Before Tax Flat; Revenue Improves; Lifts Dividend
• Neutral Sentiment: JPMorgan maintained an “overweight” rating but reduced its price target from GBX 1,225 to GBX 1,050, indicating confidence in the longer-term outlook while allowing for more cautious near-term expectations. JPMorgan target update
• Negative Sentiment: Profit before tax was broadly flat despite higher revenue, while reported earnings of 77 pence per share offered limited evidence of near-term earnings acceleration.
• Negative Sentiment: The new growth plan is weighing on sentiment: Dunelm is targeting faster sales growth, but investment and execution costs are expected to pressure profits in the near term. This prompted concerns that earnings growth may lag sales growth. Dunelm targets faster sales growth
• Negative Sentiment: Investor reaction suggests the strategy announcement has not convinced the market, with commentary describing Dunelm’s “master plan” as failing to win over the City. Dunelm’s new master plan fails to win over City

Dunelm Group Company Profile

Dunelm is the UK's market leader in homewares with a purpose 'to help create the joy of truly feeling at home, now and for generations to come'. Its specialist customer proposition offers value, quality, choice and style across an extensive range of c.70,000 products, spanning multiple homewares and furniture categories and including services such as Made to Measure window treatments. The business was founded in 1979 by the Adderley family, beginning as a curtains stall on Leicester market before expanding its store footprint.

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