Citi trims PT for Australia's Michael Hill, cuts earnings estimates

Michael Hill International

14/11/2023 19:43

** Analysts at Citi trim price target for Australian
jewellery retailer Michael Hill International Ltd  MHJ.AX  to
A$0.79 from A$0.92; maintain "neutral" rating 
    ** Citi also lowers FY24 to FY26 core NPAT estimates by 10%
to 17%
    ** Brokerage says the updated estimates reflect
slower-than-expected sales growth and rollout, and
greater-than-expected gross margin pressure driven by elevated
diamond and gold prices and promotions
    ** Two of three analysts rate the stock "buy" and one
"hold"; their median PT is A$1.40 – LSEG data
    ** Stock down ~26% this year, as of last close

 (Reporting by Sherin Sunny in Bengaluru)
 ((Sherin.Sunny@thomsonreuters.com))