Tod's Group: Tod’s Q1 results just below consensus, but FY13 guidance maintainedSELL, Fair Value EUR85 vs. EUR80 (-25%)
Yesterday, Tod’s published Q1 13 results that were below just below consensus ests. (EBITDA EUR63.6m vs. consensus EUR65m) due to weak sales, but management maintained 2013 sales and margin guidance. We maintain our Sell recommendation and nudge our FV to EUR85 from EUR80 as a result of a new risk-free rate in our DCF model (3% vs. 3.3%). We think the valuation is unattractive given prospective earnings growth.
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