Credit Suisse deals DSGi a blow - PC Retail

Credit Suisse deals DSGi a blow

Analysts describe meeting with new management as 'unconvincing'
Author:
Publish date:
7_CPW_InStore_CouchLaptop.jpg

DSGi has been struck another blow by investment bank Credit Suisse, after it described a recent meeting with the firm's new management as 'unconvincing'.

Analysts at Credit Suisse cut its profit forecast for the firm again in accordance with its belief that DSGi's PC World brand would see sales slump by 12 per cent after the meeting with the group's new board, including former Tesco operations development manager, John Browett.

"We continue to see downside risks to consensus forecasts with little visibility in the way of drivers to stimulate demand within the UK Computing division," the analysts said.

The analysts reiterated the retailer's underperform rating, and its 50p price target. At the close of trading yesterday, DSGi shares were at 69¾p.

Related