Weekly Reports | 10:30 AM
A summary of the highlights from Broker Call Extra updates throughout the week past.
Broker Rating Changes (Post Thursday Last Week)
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AUSSIE BROADBAND LIMITED ((ABB)) Upgrade to Overweight from Neutral by Jarden.B/H/S: 0/0/0
Jarden upgrades Aussie Broadband to Overweight from Neutral, maintaining its $5.50 target price, as market concerns regarding residential subscriber slowdowns are deemed fully priced in.
The analyst expects that cost efficiencies from replatforming will drive organic earnings growth and provide operating leverage, helping to offset the residential subscriber slowdown.
Despite fears of satellite disruption from Starlink, the broker views the threat as limited for the FY28 outlook and emphasises the company's strong track record in gaining market share.
With the stock trading some two standard deviations below its historical average at approximately 14x 1-year forward earnings, the risk/reward profile is considered compelling.
The company is forecast to compound underlying EBITDA and earnings per share by approximately 21% and 28% respectively over the FY25 to FY28 period.
| Order | Company | New Rating | Old Rating | Broker | |
|---|---|---|---|---|---|
| Upgrade | |||||
| 1 | AUSSIE BROADBAND LIMITED | Buy | Neutral | Jarden | |
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