RBC warns on German consumer weakness, cuts H&M and JD Sports forecasts

RBC Capital Markets released a research note highlighting deteriorating consumer conditions in Germany as a significant concern for European retailers operating in the region. The bank attributed the weakness to elevated living expenses that have prompted shoppers to become more selective and price-conscious in their purchasing decisions.
In response to these findings, RBC reduced earnings per share forecasts for H&M by 2% to 3% across the 2026 and 2027 financial years, based on assumptions