Australia's Temple & Webster jumps after brokerages flag improving sales trends

Temple & Webster

23/10/2026 02:01

** Shares of Temple & Webster TPW.AX rise as much as 31.7% to A$5.70, their highest level since August 12
** Jefferies says the AGM update eased concerns of a further deterioration in trading, with sales trends improving materially for FY27 YTD
** Brokerage estimates sales trends improved to a 4% decline from a 13% decline previously for two months since August 18, while contribution margin growth strengthened to 16% from 10%
** Co expects revenue growth to resume from late February 2027 and has reaffirmed FY27 EBITDA guidance
** Citi says revenue momentum has improved materially since August and early results from branding, private-label and AI initiatives suggest growth can recover without sacrificing margins
** Jefferies rates the stock "buy" with an unchanged A$5.25 target price, while Citi rates it "neutral" and maintains A$4.35 target price
** YTD, stock down 61.5%, including the session's moves

 (Reporting by Paridhi Minda in Bengaluru)
 ((Paridhi.minda@thomsonreuters.com;))