Shares in Pets at Home (PETS) spiked on Tuesday following a better-than-expected first-quarter update. Sales of £257m represented growth of 5 per cent or 2.7 per cent on a like-for-like basis – well ahead of analyst expectations.
IC TIP:
Hold
at
184p
But there’s no word on whether gross margins have materially improved (the group had previously estimated a 100 to 200 basis point decline this year) and analysts shied away from upgrading numbers at this early stage. It’s their belief that half-year results in November will provide a better idea of whether this good momentum can be sustained.
