Jefferies slashes Australian retailer Temple & Webster's PT on weak outlook

Temple & Webster

13/05/2026 19:51

** Jefferies cuts price target on online homeware retailer Temple & Webster Group's TPW.AX stock 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

** TPW on Wednesday forecast FY26 revenue between A$665 million and 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"

** As of last close, stock down 63.6% so far this year

($1 = 1.3774 Australian dollars)

 (Reporting by Nikita Maria Jino in Bengaluru)

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