Nick Scali's Early Fiscal 2027 Trade Better than Feared, Jefferies Says
MT Newswires Live
Aug 07
Nick Scali's (ASX:NCK) early fiscal 2027 trade was better than feared, albeit with tailwinds in new stores, Jefferies said in a note on Thursday.
Its AU$75.7 million net profit after tax was 0.6% below consensus. Australia and New Zealand earnings before interest and taxes was around AU$3 million was weaker than consensus despite a very strong second half gross margin.
While Jefferies said it had confidence in the management's ability to deliver but it had questions on the sustainability of gross margin and outlook, given the weaker macro backdrop.
The investment firm assigned Nick Scali a hold rating and a price target of AU$15 per share.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.