Telstra Corporation has outlined FY25 targets, with Credit Suisse noting underlying earnings are largely in line with market expectations. It is the broker’s view targets suggest no obvious earnings hole in operations.
The company aims for a mid-single digit underlying earnings compound annual growth rate through to FY25 and an underlying earnings per share compound annual growth rate in the high teens in the same timeframe, the latter of which is slightly below consensus.
The Outperform rating is retained and the target price increases to $4.35 from $4.15.
Sector: Telecommunication Services.
Target price is $4.35.Current Price is $3.95. Difference: $0.40 – (brackets indicate current price is over target). If TLS meets the Credit Suisse target it will return approximately 9% (excluding dividends, fees and charges – negative figures indicate an expected loss).
