Morningstar says Bapcor shares materially undervalued

Bapcor

Thu 22:13

** Morningstar says shares of Australia's Bapcor BAP.AX  are materially undervalued compared with its unchanged fair value estimate of A$1.60 per share, with the market effectively pricing in almost no recovery in EBITDA margins
** Investment research firm forecasts EBITDA margins recovering to around 12% over the next decade driven by operating leverage, improved buying power, and higher private-label penetration
** Morningstar maintains its 2027 revenue forecast of A$1.9 billion, about 1% higher than last year
** Says its unchanged 2027 underlying net profit forecast of A$23 million is more than twice as much as last year's
** Stock down 41.3% for the year, as of last close

 (Reporting by Tejas Harish in Bengaluru)
 ((tejas.harish@thomsonreuters.com;))