Russ Mould, investment director at AJ Bell, said: “Much attention around Halfords has focused on its auto services, parts and accessories operations rather than the cycling business.
“However, the company’s first-half results are pedal powered with an eye-catching 9 per cent increase in like-for-like sales.
“Investors have been here before and may not be getting carried away as cycling performance tends to fluctuate significantly.
“While cycling sales may be flying like Laura Kenny in the velodrome, supported by warm weather over the summer and autumn, they could just as easily resemble an amateur with a slow puncture next time around.
“That’s potentially why the market is focusing instead on the more sluggish showing on the motoring side, which has increasingly become Halfords’ bread and butter.
“The company is looking to lean on an improvement in its digital platforms as it looks to navigate a difficult road ahead amid continuing pressures on consumer spending.
“At least by pursuing these improvements and keeping a lid on costs, Halfords is managing the elements it can control.”
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