Citi downgrades Australia's Nick Scali to 'neutral' after CEO stake selldown

Nick Scali

23/11/2023 22:23

** Analysts at Citi downgrade rating on Australian furniture
retailer Nick Scali  NCK.AX  to 'neutral' from 'buy', trim PT to
A$11.57 from A$13.35 
    ** Citi says the unexpected sale of 42% of CEO/major
shareholder's stake has created some uncertainty for co
    ** Brokerage, however, says many of NCK's fundamentals
appear to remain attractive
    ** Citi says attractive fundamentals include long duration
roll out opportunities for Nick Scali and Plush stores and
potential for further M&A
    ** 4 of 6 analysts rate the stock 'buy' or higher, 1 'hold'
and 1 'sell'; their median PT is A$12.98 - LSEG data
    ** As of last close, stock up 1.9% this year

 (Reporting by Himanshi Akhand in Bengaluru; editing by Diane
Craft)
 ((Himanshi.Akhand@thomsonreuters.com;))