Australia's Temple & Webster slips as Jefferies slashes PT on weak outlook

Temple & Webster

14/05/2026 01:36

Updates

** Shares of Temple & Webster Group TPW.AX fall as much as 5.8% to A$4.69 in early trade, on track for a fifth consecutive session of losses, if current trend holds

** Jefferies cuts price target on online homeware retailer to A$8.95 from A$14.50, retains "buy" rating

** Brokerage also cuts revenue estimate by 6%, 15% and 18% for fiscal years 2026, 2027 and 2028, respectively

** Company on Wednesday forecast FY26 revenue of A$665 million-A$675 million ($482.79 million-$490.05 million), up 12% from last year but missing Visible Alpha's consensus of A$714.8 million

** Jefferies says that despite TPW's discount model, the trading update points to severe consumer stress, with confidence at "historical lows"

** Management essentially trying to "batten down the hatches" for a rough 12 months, choosing to pull margin levers - Jefferies

** Brokerage adds co's target of A$1 billion revenue in FY28 feels "increasingly aspirational"

** Stock down 64.8% YTD, including the day's moves

($1 = 1.3774 Australian dollars)

 (Reporting by Nikita Maria Jino in Bengaluru)

 ((Nikita.Jino@thomsonreuters.com;))