Australia's TechnologyOne surges as Morgans upgrades rating

TECHNOLOGY ONE

20/11/2025 01:09

** Shares of TechnologyOne TNE.AX rise as much as 7.5% to A$31.45, logging their largest intraday pct jump since mid-May

** Morgans upgrades enterprise software maker to "accumulate" from "hold"

** Brokerage says TechnologyOne is a high-quality company with impressive financial stature and an even more impressive track record of execution

** Calls co's FY25 report largely in line with expectations, says negative share price reaction following results has been driven by softer-than-expected annual recurring revenue (ARR) print

** Stock marked its biggest fall since November 2002 on Tuesday

** Morgans lifts revenue forecasts by 1%-2% for fiscals 2026, 2027 and 2028 each on an increase in consulting revenues

** Brokerage, however, cuts target price to A$34.5 from A$43.5 following negative share price movement

** Stock down nearly 1% YTD, including the day's moves

(Reporting by Nikita Maria Jino in Bengaluru)

((Nikita.Jino@thomsonreuters.com))