0234 GMT - Brambles can't be expected to trade at historic earnings multiples due to the pallet provider's reduced growth options and structurally weaker cash flows in its Americas business, Jefferies analysts write in a note. They tell clients that times and the company have changed. They point out that when Brambles was priced at a high price-to-earnings premium during the five years through fiscal 2016, average annual revenue growth was about 40% stronger than the market expects for the years through fiscal 2028. They see Brambles' investment in pallet tracking tech as a positive, but say they are waiting to see the results. Jefferies has an underperform rating and A$13.22 target price on the stock. (stuart.condie@wsj.com)
(END) Dow Jones Newswires
April 17, 2024 22:34 ET (02:34 GMT)
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