Dr Martens PLC (LSE:DOCS) shares have been rising recently, a rare event since the iconic boot maker listed in 2021.
New chief executive Ije Nwokorie, ex-Wolff Olins and Apple, came with a lot of goodwill and that has helped but next week’s update will be a more serious test.
Sales slumped in its first half but any sign that Dr Martens’ volumes have either flattened or are even turning up could have a dramatic impact on the share price.
Of course, the reverse is true, but analysts seem to be more hopeful that for was while.
In November, Peel Hunt wrote: “Overall, the brand is clearly fine, the company is addressing operational challenges, but recovery is a multi-year event.”
Dan Coatsworth, at AJ Bell, added: “The bootmaker has a recovery plan and it knows what’s needed to fix the business. It’s now a waiting game for the strategy to play out.
“The reason why the shares have jumped is new guidance for cost savings to hit the top end of previous guidance, inventory is coming down and the company has reported strong sales of new products," he added.
"These nuggets are exactly what’s needed to rebuild credibility with the market".
Shares are trading around 72p, some 80% down on the IPO.