Do you want some exposure for your investment portfolio? If you do, then it could be worth looking at the ASX retail stocks in this article. They have been named as best buys for the new financial year by analysts at Bell Potter. Let's see what the broker is saying.
What is the broker saying about ASX retail stocks? Firstly, Bell Potter explained what it is looking for in the sector right now. It said: We continue to look for retailers with differentiating customer value propositions and balance sheet strength and support names who may grow via market share expansion and have exposure to the customer categories who could benefit in the current consumer backdrop. One ASX retail stock that has been given the thumbs up is ( ).
Bell Potter has a buy rating and $35.00 price target on the Smiggle and Peter Alexander owner's shares. It believes the market is undervaluing its shares, especially given its demerger plans.
It explains: PMV is currently trading on ~15x FY26e P/E (BPe) which we think is conservative given the value that we see emerging from the potential demerger of PMV's two key brands, Smiggle and Peter Alexander which we believe are global roll-out worthy and highly profitable. We see further upside from the higher ownership PMV shareholders could receive in the Myer Group (MYR) given the potential to grow post MYR's turnaround phase and synergies from merging with PMV's apparel brands What else? Another ASX stock that has been tipped as a buy is youth fashion retailer.
