Analysts cut earnings outlook for Australia's Harvey Norman after weak qtrly update

Harvey Norman Holdings

29/10/2023 19:46

** Analysts at Citi and Morningstar cut FY24 earnings
outlook for Harvey Norman Holdings Ltd  HVN.AX  after weak
quarterly update 
    ** Retailer's unaudited profit before tax and NCI for qtr
down 49% vs last year while aggregated sales revenue is down
9.1% 
    ** Morningstar downgrades underlying earnings outlook for
FY24 by 7% while Citi cuts earnings forecast by ~9% 
    ** Citi downgrades FY24 EBIT by 8.6% to reflect continued
challenging trading conditions     
    ** Morningstar and Citi maintain their fair value estimates
and PT for HVN at A$3.90 and A$4.60, respectively  
    ** One of 11 analysts rate the stock "strong buy", seven
"hold" and three "sell" or lower; their median PT is A$3.70 -
LSEG Data
    ** HVN down 9.9% YTD as of last close 

 (Reporting by John Biju in Bengaluru)
 ((John.Biju@thomsonreuters.com;))