: Thrift store operator Savers Value Village assigned at least six buy ratings after IPO

by | Jul 24, 2023 | Stock Market

Savers Value Village’s stock rose 3.2% Monday, after analysts initiated coverage of the stock that hit public markets in June with a slew of buy ratings. The stock, which went public at $18 a share, was last quoted at $25,97, or about 39% above its issue price. All six analysts on FactSet have assigned the stock a buy rating or the equivalent on Monday, now that the lockup period after its IPO has expired.

The company is the biggest for-profit thrift-store chain in North America, with 317 stores that operate under multiple names. “Savers stands at the intersection of value and convenience given the combination of (i) accelerating secular tailwinds with the U.S. Thrift/Secondhand total addressable market projected to grow (by) high teens annually to $82 billion by 2026, (ii) white-space opportunity at 317 stores today with a long-term store saturation target of 2,200 stores (= more than 50 years of new store growth), and (iii) average unit retail under $5 or 70% below value peers,” wrote JPMorgan analysts in a note to clients.  Average unit retail, or AUR, is the average selling price for an item within a specific period. JPMorgan assigned the stock
an overweight rating, the equivalent of buy, and a price target of $29. See also: Like …

Article Attribution | Read More at Article Source

Share This