Brokerages lift PT for Australia's Credit Corp on strong FY26 outlook

Credit

05/08/2025 21:17

** Analysts at Jefferies upgrade Credit Corp's CCP.AX PT to A$19.65 from A$18.80 with 'buy' rating, believing co can support higher P/E multiple on a more defined US growth path

** Morningstar raises fair value estimate by 8% to A$17.30, reflecting higher projected operating margins

** Jefferies says co's FY25 results pave way for robust FY26 forecast, with NPAT guidance of A$100 mln ($64.71 mln) to A$110 mln

** Adds financial services provider will look to manage costs in order to maintain margins in Australia
** Morningstar says co's FY26 outlook considerably surpasses the investment research firm's expectations
** Says debt ledger purchases in present environment, cash collections from new debt ledgers, others to support earnings growth
** Adds numerous new consumer lending product launches, alongside intended UK expansion in fiscal 2026, could offset weakening growth in older products like Wallet Wizard

($1 = 1.5454 Australian dollars)

 (Reporting by Keshav Singh Chundawat in Bengaluru)

 ((Keshav.SinghChundawat@thomsonreuters.com))