Ermenegildo Zegna stock has slid nearly 13% from last week’s highs after Bank of America downgraded the luxury house, slapping a sober $10 price target on the ticker. The core issue? Zegna is trading at a premium 22x earnings—rivaling industry titan LVMH—while its "cool" brand Thom Browne is shrinking and its pivot away from wholesale is dragging down cash flow. In this episode of Implied, we break down why the market is treating this "transition year" like a top-tier luxury play, and whether the "Made in Italy" label justifies the price tag while the engine is still being fixed.