RevolutionRace Surges in Stockholm After Supply Crunch Dodged
(Bloomberg) -- The Swedish retailer of RevolutionRace outdoor clothing, Rvrc Holding AB, saw its market value jump to nearly $1.3 billion this week after a spate of analysts upgrades and an announcement the stock would join MSCI’s Global Small Cap index.
RevolutionRace’s shares have surged since Tuesday when it reported a 95% increase in net sales for the period July through September. That growth shows the company has parried supply chain issues experienced by other peers thanks to a solid inventory build-up, according to Handelsbanken analyst Adela Dashian.
But Dashian warns the clothing retailer could struggle to maintain its high growth rates in the face of continued supply headwinds. “Any letdown might cause the stock price to plummet,” the analyst said in emailed comments.
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