Update shared on 28 Oct 2025
Fair value Decreased 0.083%Analysts have lowered their average price target for Computershare from A$38.24 to A$38.21, citing factors including slightly reduced revenue growth expectations and modestly improved profit margin outlooks. They maintain a view that fiscal 2026 earnings guidance appears achievable.
Analyst Commentary
Recent updates from major brokers and market experts reflect a shifting perspective on Computershare’s investment prospects. While the consensus outlook has improved, analysts remain balanced in their views, highlighting both opportunities and risks for the company.
Bullish Takeaways
- Bullish analysts have upgraded their outlook on Computershare, citing that the company’s fiscal 2026 earnings guidance now appears achievable based on current data.
- Recent indicators suggest that revenue trends are tracking in line with guidance, supporting confidence in the company's growth trajectory.
- Some analysts believe that valuation levels are now more reasonable, prompting upgrades to their rating on the stock.
- Improvements in profit margin outlooks have also contributed to a more constructive view on medium-term performance.
Bearish Takeaways
- Despite upgrades, some experts have trimmed their price targets, reflecting slightly softer expectations for revenue growth moving forward.
- Currency headwinds, particularly due to AUD/USD fluctuations, are seen as a mild drag on future valuation and earnings conversion.
- Caution remains around the sustainability of non-margin income lines, with some indicators only in line rather than outperforming guidance.
What's in the News
- Computershare Limited announced an ordinary dividend of AUD 0.48 per share for the six months ended June 30, 2025. The ex date is August 19, the record date is August 20, and the payment date is set for September 15, 2025 (Key Developments).
Valuation Changes
- Consensus Analyst Price Target has edged down marginally from A$38.24 to A$38.21.
- Discount Rate has decreased slightly, moving from 6.91% to 6.88%.
- Revenue Growth expectations have declined from 1.53% to 1.43%.
- Net Profit Margin outlook has improved, rising from 23.95% to 24.12%.
- Future P/E ratio is now slightly lower, shifting from 21.86x to 21.70x.
Disclaimer
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