Currys should see its competitive pricing and credit offers largely protect it from the global economic slowdown.
As smaller competitors struggle this should also see it gain more market share.
While the tech retailer will likely only breakeven in the first half of 2023, Liberum analysts suggest its position as a market leader in each of the eight countries it operates in will ensure it is a “long-term winner”.
Suggesting a target share price of 150p, roughly double its current level, Liberum does not see Currys generating a profit in the coming year, but will fare better than its competitors in the long run.
Currys’ offering of credit to pay for its goods and services highlights room for growth, according to Liberum, which said 70%-80% of electrical goods in the UK are bought this way.
Liberum also noted some 80% of UK households already shop with Currys, suggesting it therefore offers low risk to investors as it can increase loyalty rather than having to build a customer base.
Currently it has a market share of around 30% of the UK electricals spend.
Shares were down 0.97% at 76p.