Feb. 22 (Bloomberg) -- Pandora A/S rose to the highest price in 18 months in Copenhagen trading after Carnegie Investment Bank AB said the Nordic region’s biggest jewelry maker will return to sales growth in 2013.
Pandora rose as much as 1.8 percent to 146.70 kroner, the highest since August 2011. The shares gained 1.6 percent to 146.40 kroner at 11:22 a.m. in the Danish capital with trading volume at 54 percent of the three-month daily average. The stock has risen the past four days, its longest winning streak in six weeks.
Pandora was 2012’s best performer among Denmark’s benchmark stocks after the company succeeded in improving profits at the expense of revenue growth with a strategy to cut prices and swap retailers’ old stock for better-selling products. Carnegie today repeated a buy recommendation on the stock and said 2013 revenue could rise 18 percent, helped by openings of new stores.
“2013 should be the year when revenue grows again,” Lars Topholm, an analyst at Carnegie in Copenhagen, said in a note. “Our dealer survey suggests sales-out momentum has strengthened in the U.S., the U.K. and Australia.”
Glostrup, Denmark-based Pandora is due to publish 2012 earnings and a 2013 forecast on Feb. 26.
Pandora’s 2012 sales declined 1.8 percent to 6.54 billion kroner ($1.16 billion), according to the average estimate of 13 analysts surveyed by Bloomberg. That would be the second year in a row of falling revenue after sales quadrupled in the two years through 2010.
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