BIRK Stock Forecast & Price Target

Birkenstock Holding demonstrates strong revenue growth, with reported sales expected to reach approximately €2.30 to €2.35 billion, reflecting a year-on-year increase of 10% to 12%. The brand's adaptation in higher-priced closed-toe products has successfully expanded its market share, contributing to a projected growth rate exceeding 30% year-on-year in this category for FY25. Additionally, the company's expansion strategy in the Asia-Pacific region, anticipated to achieve sales growth nearly twice that of other segments, alongside its successful retail performance in the Americas and EMEA, underlines the brand's solid positioning and future potential for sustained profitability.

Birkenstock Holding's sales forecast for FY26 has been adjusted downward to €2.35 billion, reflecting a decrease in expected growth from 12.8% to 11.9% year-over-year. Furthermore, the company's gross margin guidance of 57.0% to 57.5% falls short of both internal and external expectations, marking a decline from the previous year, and contributing to a projected EBITDA of €714.8 million, which is down from €758.7 million. The anticipated negative impact on margins from tariffs combined with an unfavorable channel mix significantly undermines the company's financial outlook, highlighting ongoing challenges that may hinder future profitability.