Australia's Zip rises on share buyback; Citi sees continued growth in US market
BUZZ-Australia's Zip rises on share buyback; Citi sees continued growth in US market Updates
** Shares of Australia's Zip Co ZIP.AX rise as much as 5.7% to A$2.220, their biggest intraday pct gain since August 20
** Stock on track to snap six-session losing streak
** The consumer lending firm said it has begun a share buyback programme of up to A$50 million ($35.66 million)
** Citi expects new product initiatives to continue driving growth in the U.S. for ZIP
** Brokerage sees potential upside to its cash EBITDA forecast for fiscal 2027, through strong U.S. total transaction value growth, higher net transaction margin and cost control
** Brokerage maintains "buy" call for stock, however trims target price by 10% to A$3.20 on expectations of decreased qtrly growth rate and uptick in net bad debt
** YTD, stock down 33.7%
(Reporting by Paridhi Minda and Subhalakshmi Dey in Bengaluru)
((Paridhi.minda@thomsonreuters.com; Subhalakshmi.Dey@thomsonreuters.com))
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