Citi expects online penetration in non-food retail will increase to 21% from 17% by 2030 and initiates coverage on Temple & Webster, Adore Beauty and Kogan.com.

While Buy-rated Temple & Webster is the analysts' preferred pick, Adore Beauty also earns a Buy, High Risk recommendation, especially with Beauty & Personal Care set to be one of the fastest growing categories for online retail.

The broker's High Risk rating reflects near-term uncertainty around margins, as well as lack of exclusive brands relative to competitors.

A survey conducted by Citi shows Adore has great customer engagement, and also offers competitive pricing with a superior delivery experience relative to omni-channel competitors. A $1.20 target is set.

Sector: No Sector.

Target price is $1.20.Current Price is $1.04. Difference: $0.16 - (brackets indicate current price is over target). If ABY meets the Citi target it will return approximately 13% (excluding dividends, fees and charges - negative figures indicate an expected loss).

© 2023 Acquisdata Pty Ltd., source FN Arena