Citigroup upgrades Depot


11 May 2006 – Delray Beach (FL): Citigroup has upgraded shares of Office Depot to ‘Buy’ from ‘Hold’ and believes the company is "in the early stages of a transformational turnaround".

The firm sees Depot’s operating margin expanding over the next five years through key drivers including an increase in private brand penetration (from 20 per cent today to more than 50 per cent in five years), aggressive implementation of its "good, better, best" merchandising strategy and expansion of global sourcing and branding.