Morgan Stanley sees profitability on Australia's Tabcorp Holdings licence win

Tabcorp Holdings

19/12/2023 02:10

** Analysts at Morgan Stanley sees profitability reset to
Tabcorp Holdings  TAH.AX  getting awarded an exclusive 20-year
Victorian wagering retail licence
    ** Brokerage maintains "overweight" rating and price target
of A$1.20/shr
    ** Morgan Stanley says gambling entertainment co is
transforming its earning profile through active license
renegotiations
    ** Broker increases earnings per share forecast for FY25/26
by around 5%; also reduces FY24 earnings before interest, tax,
depreciation and amortisation by 2.1% to factor in weaker than
anticipated trading conditions
    ** Shares of TAH are down as much as 6.1%
    ** Six of 10 analysts rate stock "Buy" or higher and four
rate "Hold"; their median PT is A$1.05 - LSEG data
        ** Stock down 15.8% this year as of last close

 (Reporting by Shivangi Lahiri in Bengaluru)
 ((Shivangi.Lahiri@thomsonreuters.com;))