Jefferies maintains 'buy' on NextDC, says funding secured through FY28

NEXTDC

15/10/2026 23:12

** Jefferies says data centre operator NextDC NXT.AX has sufficient liquidity to fund development through FY28
** Adds the company has about A$10 billion ($6.92 billion) of liquidity against Jefferies FY27-FY28 capex forecast of A$8.2 bln following its recent convertible bond raise
** Says rising interest costs remain manageable, with EBITDA expected to cover interest payments even if debt costs rise by 100 to 200 basis points
** Brokerage says NextDC's current share price largely reflects the value of its property assets, with little value attributed to its operating business or future development pipeline
** Jefferies maintains a "buy" rating on NextDC with an unchanged A$17 price target
** 12 of 13 analysts rate the stock "buy" or higher, and one "hold"; their median PT is A$19.90, according to data compiled by LSEG
** YTD, stock down 28.2%, as of last close

($1 = 1.4455 Australian dollars)

 (Reporting by Paridhi Minda in Bengaluru)
 ((Paridhi.minda@thomsonreuters.com))