Australian bourse operator rises after Citi lifts earnings estimates

ASX

08/01/2026 01:14

Updates

** Shares of Australia's bourse operator ASX ASX.AX rise as much as 2.3% to A$52.31, their highest level since December 24

 ** Stock marks its biggest intraday pct gain since November 7

** Citi analysts raise EPS for ASX after first‑half trading volumes and revenue tracked better than expected

** Note cash market volumes rose 13.5% half‑on‑half, with average daily value traded at A$8.36 billion, the second highest on record

** However, brokerage cuts target price to A$52.20, introducing a 10% discount between TP and valuation to reflect substantial lingering uncertainty amid regulatory intervention, and resulting upward risk to brokerage's cost estimates

** Notes the Australian Securities and Investments Commission's inquiry panel has called for significant operational changes, including a strategic reset of ASX’s Accelerate Program to strengthen operational risk management

** Citi says the reset may involve additional workstreams or initiatives creating material uncertainty about the FY27E/28E costs outlook

** Retains "neutral" rating

** ASX down 21% in value during 2025

(Reporting by Shruti Agarwal & Aamir Sheik Khalid in Bengaluru)

((Shruti.Agarwal@thomsonreuters.com))