Australia's Reliance Worldwide Corp extends drop; brokerages trim FY26 earnings view

Reliance Worldwide

20/08/2025 01:18

** Reliance Worldwide Corp RWC.AX falls 1.9% to A$4.210, extends Tuesday's 6.7% drop

** Morningstar, Jefferies trim FY26 earnings estimates after co flags weak outlook due to U.S. tariffs

** Morningstar cuts FY26 revenue outlook for plumbing and heating products maker to flat from low single-digit growth

** Expects weaker housing backdrop, tariff uncertainty to further impact co's U.S. volumes in near-term

** However, sees near-term impact as transitory; keeps co's long-term outlook unchanged

** Maintains fair-value estimate of A$5.7

** Jefferies sees FY26 NPAT, EPS falling 12% and 15%, respectively

** Says tariff impact worse than it thought; cuts PT to A$5.15 from A$5.50

** YTD, RWC down 14.6%

 (Reporting by Shruti Agarwal in Bengaluru)

 ((Shruti.Agarwal@thomsonreuters.com))