Macquarie published a research report pointing out that$PRADA S.p.A. (01913.HK) $Share prices fluctuated mainly due to market worries about the US recession and the epidemic in Shanghai, as well as expectations that PRADA S.p.A. would not be able to meet his medium-term targets. But the bank believes the market is overworried and expects revenue to grow by 19.4 per cent and EBIT by 78 per cent in the first half of this year because of the company's structural performance in the global luxury market.

The bank believes that the strong recovery in European tourism should offset the impact of the epidemic in some Chinese cities. Fixed rents in Europe / the US should help strong operating leverage, raising its net profit forecasts for the 2022-2023 fiscal year by 4.7 per cent and 3.5 per cent. To reiterate its "outperform" rating, the target price was reduced from HK $79 to HK $75.