Jefferies trims Australia's SGH PT, cuts earnings outlook on macro, pricing pressures

SGH

23/04/2026 22:03

** Jefferies downgrades diversified industrial firm SGH’s SGH.AX earnings outlook and trims its price target, citing softer macro conditions and mounting pricing pressures across its units

** Cuts 2H EBIT outlook by 2%, flags FY26 EBIT growth of 2.3% vs low‑to‑mid single‑digit guidance provided by the company; trims PT to A$46 from A$51.90 at "Hold" rating

** EBIT momentum at SGH is easing without M&A, which the brokerage sees as the key lever for incremental growth, given a tougher Australian housing backdrop

** Stock down 11.7% as of last close YTD

 (Reporting by Kumar Tanishk in Bengaluru)

 ((Tanishk.Kumar@thomsonreuters.com; X: @thatstanishk http://www.x.com/thatstanishk;))