ING downgrades Inditex but remains optimistic, like most

LONDON (ShareCast) - ING has downgraded its recommendation for Inditex to hold from buy but reiterated its price target of €75, which is a 10% premium over the current stock price. Some 41% of analysts surveyed by Bloomberg have a buy recommendation for the Spanish fashion retailer. Half of the analysts recommend holding the stock while just 8.8% recommend to sell. The average price target from the Bloomberg consensus is €72.18. Shares of the company - which owns brands such as Zara, Pull & Bear and Massimo Dutti - were leading the declines on the Ibex35 today in what seems a bullish trading session. Inditex's shares were down 0.83% at €68 by 09:18 in Madrid. "In terms of technical analysis, Inditex is consolidating near the all-time high of €68.85," say analysts at Digital Look. "As such, it would not be a surprise to see a breakout of that level in the following sessions. At that point, the Ibex component will be able to rise freely without any resistance in its path. The breakout of that level would lead us to consider further gains towards at least €71. We do not expect any bearish trading signals as long as the stock trades above €66.20," they conclude. MJ.J/C.N.