SFRGF - Prada downgraded by Goldman Sachs amid waning consumer confidence

A less confident consumer was cause enough for Goldman Sachs to cut forecasts for Prada (OTCPK:PRDSY). The bank indicated that the risk/reward profile of the stock is no longer as attractive as it once was amid uncertainty in the luxury industry on both supply and demand sides. While returning tourism was cited as a bright spot, lower demand for luxury goods in a market downturn was noted as a significant risk. Of course, China remains a notable headwind across the industry as lockdowns and general restrictions hurt both of those cited trends. As such, a “Neutral” rating was assigned to shares, replacing the prior “Buy” rating.  Elsewhere, Compagnie Financière Richemont (OTCPK:CFRHF -1.9%) and LVMH (OTCPK:LVMHF) were assigned “Buy” ratings on better expected resilience to market turmoil. Meanwhile, Hermès International (OTCPK:HESAY -2.8%), and Salvatore (OTCPK:SFRGF -17.1%) were among luxury names rated “Sell”. Read more on the outsized impact of China in

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Prada downgraded by Goldman Sachs amid waning consumer confidence