Citi sees reduced cash burn to benefit Australia's Siteminder in Q2

SiteMinder

09/01/2024 02:55

** Analysts from Citi expect Australia's Siteminder  SDR.AX 
to report Q2 results in line with market consensus, with revenue
falling sequentially due to seasonality  
    ** Brokerage estimates A$45 mln ($30.28 mln) in revenue for
Q2, lower than A$47 mln in previous quarter, as Q1 is usually
stronger for transaction revenue 
    ** However, it sees Q2 cash burn to reduce by A$2.5 mln and
expects co to be free cash flow positive by Q4
    ** The Australian hotel commerce platform remains Citi's top
pick for tech coverage 
    ** Brokerage adds annual recurring revenue expected to
benefit from easing transaction comparison towards end of
quarter
    ** Broker sets "Buy" rating at a PT of A$5.70 
    ** 13 of 14 analysts rate the stock "buy" or higher, one
"hold" and none "sell" or lower; their median PT is A$5.45 –
LSEG data
    ** Stock has risen ~68.4% in 2023 


($1 = 1.4861 Australian dollars)

 (Reporting by Archishma Iyer in Bengaluru)
 ((Archishma.Iyer@thomsonreuters.com;))