Australia's Hansen Technologies rises after rating upgrade to 'buy'

Hansen Technologies

04/09/2024 02:18

** Shares of Hansen Technologies  HSN.AX  rise as much as 3%
to A$4.37, their highest levels since late August 
    ** Goldman Sachs upgrades the stock to a "buy" rating from
"neutral", hikes price target to A$5.10 per share, showing a
~20% upside from its previous PT of A$4.95  
    ** Brokerage upgrades stock due to improving earning
visibility after its acquisition of German software co
Powercloud GmbH in February
    ** Powercloud should contribute healthy earnings in FY26E, 
seeing HSN group cash EBITDA growth inflect from more than 4%
FY25 to more than 23% FY26 - Goldman Sachs 
    ** " A key re-rate catalyst will be further evidence of
execution on Powercloud cost synergies, with potential for
updates through FY25E," Golman analysts write in a note
    ** Seven of nine analysts rate the stock "buy" or higher,
two "hold"; their median PT is A$6.00 – LSEG data
    ** Stock has fallen 16.7% this year, as of last close
    

 (Reporting by Archishma Iyer)
 ((Archishma.Iyer@thomsonreuters.com;))