(BFM Stock Exchange) – The title of the furniture brand has sold almost 20% on the stock market since July and the publication of its semi -annual point of activity. For TP ICAP Midcap, this withdrawal of action constitutes an interesting entry point on houses around the world, which leads him to identify his recommendation for purchase with an exteriorizing price objective of an increase of almost 40%.

French households sulk the Maisons du Monde stores, the latter being at the forefront of reducing household expenditure for discretionary goods (understanding “non -essential”), like furniture and decoration.

In February, the furniture brand had expressed a third consecutive year of falling its sales. And Maisons du Monde has still not managed to stop this negative dynamic over the first six months of 2025.

On the occasion of the publication of its first half results, the company reported a withdrawal of 8.7% of its sales (in comparable data) and a net loss dug at 75.6 million euros, against a negative net profit of 24.3 million euros in the first half of 2024.

Since this still disappointing publication, the Maisons du Monde action has lost almost 20% at the end of Thursday October 2. For TP ICAP Midcap, this decline in the title constitutes “an opportunity to position itself on the title”, which leads him to raise his opinion on the title to “the purchase” against “keep” before, with a target of 2.60 euros. This exteriorizes a potential of increase of 39%, on the basis of the closing course on Thursday (1.9 euros).

On the Paris Stock Exchange, this recovery of recommendation gives a boost to the title Maisons du Monde which jumped 6.7% around 12:50 pm this Friday, October 3.

However, the design office wishes to warn that “Horizon is far from being cleared” for Maisons du Monde, and that “risk remains high”.

“The group’s financial situation remains tense, but the banks seem ready to support the group and the covenants (commitments in debt ratio) should still be set up for exercise 2025,” says Florent Thy-Tine, head of the ICAP Midcap TP Actions Research.

A decisive end of the year

In the shorter term, the design office anticipates a 5% drop in activity in the third quarter, which would be in accordance with the market trend. He quotes figures from the Banque de France, which “are not particularly reassuring with a drop in furniture sales of around 5% in July and August”.

Figures from the Prospective Institute and Furnishment Studies are “more reassuring” with an increase of 1% in July and 2.7% in August even if the activity remains carried by the kitchens.

In this context, TP ICAP Midcap does not exclude a good surprise for the summer period, while the group had indicated a positive July. The design office notes, however, that the social conflicts of September could weigh on the activity.

The end of the year will therefore be decisive, advance Florent Thy-Tine. “It is still too early to anticipate the end-of-year consumption, but it should not mark a trend reversal (we are also tabling on sales down 5% in the fourth quarter),” said the specialist.

Despite these not very optimistic forecasts, TP ICAP Midcap thinks that valuation has reached a low point and that now risk taking is more limited

According to him, the year 2026 could benefit from the fruits of the restructuring plan for two years. “A very slight growth (which is not yet acquired) should make it possible to find operational lever,” concludes TP ICAP Midcap.

The specialized brand has indeed multiplied initiatives to relaunch its commercial dynamics, with better availability of its products in stores and a multiplication of promotions for its customers members of its loyalty program.

The company has also undertaken a “modernization” program of its store network, and deploys its new concept adapted to shopping centers. Maisons du Monde also opened its first “Outlet” destocking store in late August in the Paris region at the end of August.