Jefferies cuts PT on Australia's Endeavour over long-term strategy headwinds

Endeavour

25/08/2025 20:00

** Analysts at Jefferies see difficulty in investing in Australia's Endeavour Group EDV.AX ahead of Jane Hrdlicka taking over as the new CEO along with a strategy refresh

** Shares of the pub operator dropped as much as 3.1% on Monday after co reported 17% y/y drop in annual profit attributable

** Brokerage reduces price target to A$4.30 from A$4.40; retains "hold" rating

** Share loss suggests the company's liquor shop brand, Dan Murphy, has lost its value perception leadership - Jefferies

** Brokerage sees another year of EBIT decline "difficult to avoid" for co's retail segment, with sales declining and competition intensifying

** We still see significant value in EDV's assets and potential upside in both businesses from stronger execution, whether the Group stays together or is broken apart - Jefferies

** Stock down 1.4% YTD, as of last close

 (Reporting by Shivangi Lahiri in Bengaluru)

 ((shivangi.lahiri@thomsonreuters.com))