Evaluating Birkenstock Holding: Insights From 9 Financial Analysts

Birkenstock Holding BIRK has been analyzed by 9 analysts in the last three months, revealing a diverse range of perspectives from bullish to bearish.

Summarizing their recent assessments, the table below illustrates the evolving sentiments in the past 30 days and compares them to the preceding months.

Analysts have set 12-month price targets for Birkenstock Holding, revealing an average target of $68.0, a high estimate of $77.00, and a low estimate of $60.00. Marking an increase of 3.03%, the current average surpasses the previous average price target of $66.00.

Understanding Analyst Ratings: A Comprehensive Breakdown

The analysis of recent analyst actions sheds light on the perception of Birkenstock Holding by financial experts. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to Birkenstock Holding. This offers insight into analysts' perspectives on the current state of the company.
• Rating: Offering insights into predictions, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Birkenstock Holding compared to the broader market.
• Price Targets: Analysts set price targets as an estimate of a stock's future value. Comparing the current and prior price targets provides insight into how analysts' expectations have changed over time. This information can be valuable for investors seeking to understand consensus views on the stock's potential future performance.

To gain a panoramic view of Birkenstock Holding's market performance, explore these analyst evaluations alongside essential financial indicators. Stay informed and make judicious decisions using our Ratings Table.

Stay up to date on Birkenstock Holding analyst ratings.

Get to Know Birkenstock Holding Better

Birkenstock Holding PLC is a company that manufactures and sells footbed-based products, including sandals, closed-toe silhouettes, and other products, such as skincare and accessories, for everyday, leisure, and work. The company operates in four operating segments based on its regional hubs: Americas, Europe and APMA (Asia Pacific, Middle East and Africa). The company sells its products through two main channels: business-to-business (B2B) and direct-to-consumer (DTC).

Birkenstock Holding's Economic Impact: An Analysis

Market Capitalization: With restricted market capitalization, the company is positioned below industry averages. This reflects a smaller scale relative to peers.

Positive Revenue Trend: Examining Birkenstock Holding's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 19.35% as of 30 June, 2024, showcasing a substantial increase in top-line earnings. When compared to others in the Consumer Discretionary sector, the company excelled with a growth rate higher than the average among peers.

Net Margin: Birkenstock Holding's financial strength is reflected in its exceptional net margin, which exceeds industry averages. With a remarkable net margin of 13.22%, the company showcases strong profitability and effective cost management.

Return on Equity (ROE): The company's ROE is below industry benchmarks, signaling potential difficulties in efficiently using equity capital. With an ROE of 2.87%, the company may need to address challenges in generating satisfactory returns for shareholders.

Return on Assets (ROA): Birkenstock Holding's ROA stands out, surpassing industry averages. With an impressive ROA of 1.51%, the company demonstrates effective utilization of assets and strong financial performance.

Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.57.

Analyst Ratings: What Are They?

Analysts are specialists within banking and financial systems that typically report for specific stocks or within defined sectors. These people research company financial statements, sit in conference calls and meetings, and speak with relevant insiders to determine what are known as analyst ratings for stocks. Typically, analysts will rate each stock once a quarter.

Analysts may supplement their ratings with predictions for metrics like growth estimates, earnings, and revenue, offering investors a more comprehensive outlook. However, investors should be mindful that analysts, like any human, can have subjective perspectives influencing their forecasts.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.