Dunelm Group (LON:DNLM) Price Target Lowered to GBX 1,185 at Canaccord Genuity Group

Key Points

• Canaccord Genuity lowered Dunelm Group’s price target to GBX 1,185 from GBX 1,240 but maintained a “Buy” rating, implying about 52% upside from the previous close.
• Analyst sentiment remains broadly positive: eight analysts rate the stock “Buy” and one rates it “Sell,” giving Dunelm a consensus “Moderate Buy” rating and average target of GBX 1,111.11. However, JPMorgan and Deutsche Bank also recently reduced their targets.
• Dunelm shares opened at GBX 779.50 after reportedly rising 6.2%, while insider Alison Brittain purchased 10,000 shares worth £73,200, signaling management confidence despite concerns about near-term profitability pressure from the company’s growth plan.

Dunelm Group (LON:DNLM - Get Free Report) had its price target lowered by stock analysts at Canaccord Genuity Group from GBX 1,240 to GBX 1,185 in a report issued on Thursday, Digital Look reports. The brokerage currently has a "buy" rating on the stock. Canaccord Genuity Group's price target suggests a potential upside of 52.02% from the company's previous close.

Several other equities research analysts have also issued reports on DNLM. JPMorgan Chase & Co. lowered their target price on shares of Dunelm Group from GBX 1,225 to GBX 1,050 and set an "overweight" rating for the company in a report on Wednesday. Deutsche Bank Aktiengesellschaft cut their price target on shares of Dunelm Group from GBX 1,050 to GBX 1,000 and set a "buy" rating on the stock in a report on Wednesday. Shore Capital Group reissued a "buy" rating and issued a GBX 1,000 price objective on shares of Dunelm Group in a research report on Tuesday. Finally, Berenberg Bank reissued a "buy" rating and issued a GBX 1,200 price objective on shares of Dunelm Group in a research note on Wednesday. Eight research analysts have rated the stock with a Buy rating and one has issued a Sell rating to the company. According to MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average price target of GBX 1,111.11.

Dunelm Group Stock Up 6.2%

Shares of DNLM opened at GBX 779.50 on Thursday. The company has a market cap of £1.57 billion, a PE ratio of 10.61, a P/E/G ratio of -10.32 and a beta of 0.97. The business has a fifty day moving average of GBX 856.96 and a 200 day moving average of GBX 831.82. Dunelm Group has a 52-week low of GBX 707 and a 52-week high of GBX 1,174. The company has a quick ratio of 0.16, a current ratio of 1.02 and a debt-to-equity ratio of 258.52.

Dunelm Group (LON:DNLM - Get Free Report) last posted its quarterly earnings data on Tuesday, September 8th. The company reported GBX 77 EPS for the quarter. Dunelm Group had a net margin of 8.52% and a return on equity of 99.65%. On average, sell-side analysts expect that Dunelm Group will post 77.0957096 EPS for the current year.

Insiders Place Their Bets

In related news, insider Alison Brittain bought 10,000 shares of the company's stock in a transaction on Wednesday, September 9th. The shares were acquired at an average cost of GBX 732 per share, for a total transaction of £73,200. 34.19% of the stock is owned by insiders.

Dunelm Group News Roundup

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

• Positive Sentiment: Non-executive director Ian Bull disclosed the purchase of 2,500 Dunelm shares, increasing his personal stake in the company. Dunelm Non-Executive Director Ian Bull Increases Personal Stake with Share Purchase
• Positive Sentiment: Insider Alison Brittain bought 10,000 shares at an average of GBX 732, investing £73,200. Director purchases can provide a confidence signal following the company’s recent share-price decline.
• Positive Sentiment: Shore Capital reaffirmed its “Buy” rating, while the broader analyst consensus remains “Moderate Buy.”
• Positive Sentiment: Berenberg also maintained a “Buy” rating with a GBX 1,200 price target, implying substantial potential upside from recent trading levels.
• Neutral Sentiment: Dunelm’s latest full-year results showed improved revenue and a higher dividend, although profit before tax was broadly flat. The mixed results offer support through shareholder returns but do not yet demonstrate strong earnings momentum. Dunelm Group Full-year Profit Before Tax Flat; Revenue Improves; Lifts Dividend
• Negative Sentiment: Dunelm’s new growth plan is expected to create near-term pressure on profitability, a concern that previously triggered a sharp sell-off. Dunelm Targets Faster Sales Growth
• Negative Sentiment: Deutsche Bank cut its price target from GBX 1,050 to GBX 1,000, and JPMorgan reduced its target from GBX 1,225 to GBX 1,050. Both retained positive ratings, but the reductions indicate more cautious expectations.

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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