DATA#3 LIMITED. (DTL)
Share Price Analysis and Chart

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25/08/2026

3

Neutral

$11.00

0.18%

After taking another look, UBS upgrades the target price to $11 from $8.50, noting the 18% rise in the share price might be an overreaction, but the company is experiencing strong industry tailwinds, the analyst gleans post management discussions.

The FY26 result was broadly in line at GP but mid-single-digit ahead of consensus for both revenue and PBT, with NPAT 9% ahead of UBS due largely to better-than-expected operating costs.

Commentary highlights robust industry tailwinds from ongoing compute and data centre infrastructure spending, Windows 11 upgrades, Copilot licence rollouts and AI-related software demand, while weakness in Services is considered transitional.

PBT forecasts are upgraded by 12%, 11% and 13% across FY27-FY29, respectively. The analyst sees upside risk given early indications of strong FY27 trading and management's typically conservative commentary.

First take: UBS retains Neutral and an $8.50 target after strong cost control drove FY26 profit before tax 9% above its forecast and 4% above consensus.

Revenue increased 13%, helped by Software Solutions, but Services gross profit declined -2% and its margin missed UBS by 100 basis points.

The broker sees the headline result as solid, although the divisional mix and margin weakness temper the positive earnings surprise.

FORECAST
UBS forecasts a full year FY27 dividend of 36.00 cents and EPS of 38.00 cents.
UBS forecasts a full year FY28 dividend of 40.00 cents and EPS of 42.00 cents.

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25/08/2026

4

Underweight

$7.70

-29.87%

Jarden maintains its Underweight recommendation for Data#3 with a target price of $7.70 following an FY26 financial result featuring underlying net profit after tax of $54.5m, representing a 13% increase year-on-year.

Group revenue grew 5% to $3,385.3m, while gross profit reached $304.9m, supported by a 20% year-on-year increase in infrastructure solutions gross profit in the second half.

Interest income came in at $10.1m, exceeding guidance and contributing to a profit before tax beat against consensus expectations.

The broker highlights services performance remained softer while infrastructure solutions exhibited acceleration despite facing tougher comparatives.

Strategic initiatives for FY27 include establishing a dedicated artificial intelligence practice and investing in a new 24/7 sovereign security operations centre.