Proactive Investors - Frasers Group PLC (LON:FRAS) has received backing from Deutsche Bank (ETR:DBKGn) analysts, which say the Sports Direct (LON:FRAS) owner is going from strength to strength with expansion plans.
“Frasers is progressing with its vision to build the world’s most admired and compelling brand ecosystem,” Deutsche analysts said in a note.
“Its relationships with brands continue to strengthen, building confidence in the sustainability of its core Sports Direct business and the opportunities in aspirational luxury and European sports.”
‘Buy’ was the rating granted as the bank initiated coverage of the retail group, which also owns the likes of Flannels, House of Fraser and Evans Cycles.
A 1,000p share price target was also set, marking a prospective 25% increase on Friday’s closing price.
“Together with years of investment in infrastructure, these factors have set solid foundations for the group to accelerate growth both in the UK and internationally,” Deutsche added.
Frasers has been on an acquisition spree in recent months, taking its stakes in ASOS (LON:ASOS) and Boohoo (LON:BOOH) above the 20% mark, as well as unveiling the latest addition of Dutch retailer Twin Sport in early April.
Shares climbed 3% to 820p on Monday.