Yahoo Finance Analysts Expect Breakeven For About You Holding SE (FRA:YOU) Before Long
About You Holding SE (FRA:YOU) is possibly approaching a major achievement in its business, so we would like to shine some light on the company. About You Holding SE, a fashion and technology company, operates fashion and lifestyle e-commerce platforms in Europe. The €724m market-cap company’s loss lessened since it announced a €229m loss in the full financial year, compared to the latest trailing-twelve-month loss of €139m, as it approaches breakeven. The most pressing concern for investors is About You Holding's path to profitability – when will it breakeven? In this article, we will touch on the expectations for the company's growth and when analysts expect it to become profitable.
See our latest analysis for About You Holding
About You Holding is bordering on breakeven, according to the 11 German Specialty Retail analysts. They expect the company to post a final loss in 2026, before turning a profit of €11m in 2027. So, the company is predicted to breakeven approximately 3 years from now. How fast will the company have to grow each year in order to reach the breakeven point by 2027? Working backwards from analyst estimates, it turns out that they expect the company to grow 79% year-on-year, on average, which is extremely buoyant. If this rate turns out to be too aggressive, the company may become profitable much later than analysts predict.
Underlying developments driving About You Holding's growth isn’t the focus of this broad overview, but, keep in mind that typically a high forecast growth rate is not unusual for a company that is currently undergoing an investment period.
One thing we’d like to point out is that About You Holding has no debt on its balance sheet, which is quite unusual for a cash-burning growth company, which typically has high debt relative to its equity. The company currently operates purely off its shareholder funding and has no debt obligation, reducing concerns around repayments and making it a less risky investment.
Next Steps:
There are key fundamentals of About You Holding which are not covered in this article, but we must stress again that this is merely a basic overview. For a more comprehensive look at About You Holding, take a look at About You Holding's company page on Simply Wall St. We've also compiled a list of key factors you should further research:
Valuation: What is About You Holding worth today? Has the future growth potential already been factored into the price? The intrinsic value infographic in our free research report helps visualize whether About You Holding is currently mispriced by the market.
Management Team: An experienced management team on the helm increases our confidence in the business – take a look at who sits on About You Holding’s board and the CEO’s background.
Other High-Performing Stocks: Are there other stocks that provide better prospects with proven track records? Explore our free list of these great stocks here.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
