NextDC's Bull Tells Investors to 'Buy When There's Blood'
Dow Jones09:31
0131 GMT - NextDC's bull at Macquarie recommends investors "buy when there's blood on the streets". The investment bank's analyst say shares in the Australian data-center operator are oversold amid what they see as peak pessimism toward the company and the sector. Acknowledging that the delay to its Melbourne M3 center looks bad, the analyst writes in a note that NextDC has control over multiple catalysts. They reckon that deleveraging and pausing growth capital investment will drive free cash-flow yield above 10% by fiscal 2031. Macquarie cuts its target price almost 35% to 12.90 Australian dollars but keeps an outperform rating on the stock. Shares are up 5.3% at A$5.635.
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