Grupo Mateus has its target price raised by BB Investimentos to R$8.50 (Image: Grupo Mateus/Disclosure)
O BB Investments updated its target price to Matthew Group (GMAT3), from R$8 to R$8.50, which implies an appreciation of 21% considering the closing price on Wednesday (25). The firm maintained its neutral recommendation.
The new target price incorporates the results of the first half of 2024 into the retailer's financial model and updated macroeconomic assumptions. In the analysts' assessment, the company should continue to present good results in the coming quarters.
BB points out that Grupo Mateus' shares have been outperforming the Ibovespa (IBOV) since the beginning of the year, standing out as the stock with the best results among its peers in the period.
“The number reflects the good capacity to execute the strategic plan, given that the company managed to maintain stable profitability and its financial leverage at healthy levels even in times of network expansion, the latter characteristic being very well-regarded especially in times of high interest rates like the current one, as long as attractive profitability is maintained”, assess the analysts.
Grupo Mateus has good prospects for 2025, according to BB, but faces the challenge of expanding routes at a faster pace, maintaining profitability during the expansion process and stabilizing same-store sales at levels satisfactorily above inflation, which came in below expectations in the last quarter.
In this context, BB Investimentos maintains its neutral recommendation for the stock.
JP Morgan has a neutral recommendation for Grupo Mateus
On the 13th, JP Morgan started coverage of Grupo Mateus with a target price for 2025 of R$9, and a recommendation neutral. For the bank, despite accelerated growth in recent years, the stock has already priced in this improvement.
They recall that the retailer surpassed the Assai (ASAI3) and the Carrefour (CRFB3) by 40% and 20% respectively and now trades in line with peers at 11.5x and 10.5x 2025 and 2026 price-to-earnings.
“Still, while I prefer GMAT over peers due to better operating momentum, we see it being priced mostly at current levels.”