The standout stock in the struggling UK retail sector

Potential to be a growth stock

Superdry shares have been very weak during 2018, having peaked at a price of over £20 in January, whereas today they are just under £12.

The main reason for this is weak store sales, especially in the UK, despite strong sales growth overall in the online and wholesale channels.  Profit margins in the stores have been falling steadily in recent years, a similar challenge to that faced by retailers such as Next and John Lewis.  Also, founder Julian Dunkerton has been selling his shareholding, which has not helped the share price, although he is no longer involved in the business. But Superdry is a quite a different proposition to most quoted UK retailers. It has a clear growth strategy and significant overseas operati...