Morningstar calls Australia's TechnologyOne a 'high-quality' business

TECHNOLOGY ONE

27/03/2023 20:16

** Analysts at Morningstar say that unlike many tech
companies, Australia's TechnologyOne  TNE.AX  has defied broader
sector weakness through majority of 2022 
    ** Brokerage attributes relative strength of TNE, which
provides software solutions to Australian organisations and
government, to its high-quality business backed by customers
from "different shades of government"
    ** Morningstar expects higher customer retentions and better
sales to further boost the company's business quality
    ** Brokerage projects 12% compound annual growth revenue
over the next decade; sees operating margins of 40% by FY32
    ** Co in November 2022 declared FY results with a top- and
bottom-line jump alongside a total dividend of 17.02 Australian
cents per share    
    ** Two of ten analysts rate the stock "buy", seven "hold"
and one "sell" – Refinitiv data
    ** Stock has risen 8.1% this year, as of last close 

 (Reporting by Rishav Chatterjee in Bengaluru)
 ((Rishav.Chatterjee@thomsonreuters.com;))