The Lottery Corp (ASX:TLC) delivered a solid fiscal year 2025 performance with cost controls and regulatory protections boosting confidence, though these benefits are already reflected in the current share price, Jarden said in a Wednesday note.
The company posted a solid fiscal year result, addressing change cadence and cost concerns by accelerating the Powerball price hike and maintaining stable operating expenses despite demerger costs.
The firm said regulatory actions that strengthened license protections and limited competition contributed to the company's share price gains.
The firm sees the company as a high-quality, well-managed, and cash-generative business operating in a resilient licensed market, with strong growth prospects and value-accretive opportunities already reflected in the current share price.
The investment firm downgraded its rating for The Lottery Corp to underweight from neutral while maintaining the target price at AU$5.65.
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