Australia's Zip hits more than 3-1/2-year high; Jefferies raises PT, rating

Zip Co

25/08/2025 01:41

Updates

** Zip Co ZIP.AX rise as much as 7.7% to A$4.04, highest since January 12, 2022

** Stock among top pct gainers on S&P/ASX 200 index .AXJO

** Buy now, pay later firm's FY cash EBTDA more than doubles to A$170.3 mln ($110.5 mln)

** U.S. business delivers 41.6% y/y growth in total transaction volume (TTV); considering dual listing on Nasdaq

** Jefferies upgrades to "buy" from "underperform"; raises PT to A$4.40 from A$2.10

** Says U.S. listing makes sense given U.S. TTV contribution

** Increases FY26-FY28 cash EBTDA estimates by 18%-36%, adjusting for stronger-than-forecast U.S. customer growth, FY26 outlook

** ZIP gains 26.7% this year, as of last close

($1 = A$1.5406)

 (Reporting by Shivangi Lahiri in Bengaluru
Editing by Rod Nickel)

 ((shivangi.lahiri@thomsonreuters.com))