UBS has upgraded Zalando SE to a "buy" rating, citing a potential turnaround driven by market share gains, enhanced profitability, and growth in both B2C and B2B segments. The firm projects an 8.1% compound annual growth rate in gross merchandise value through 2028 and expects EBIT margins to improve to 4.6% by 2025.Analysts also highlighted Zalando's disciplined inventory management and warehouse automation as key factors for operational efficiency. Additionally, the potential acquisition of About You could yield long-term synergies exceeding €200 million, further strengthening Zalando's market position.