Larger-than-expected net outflows and negative market movements in the first quarter prompts Credit Suisse to lower its target price to $3.20 from $3.30. Around 75% of the outflows occurred in the month of September, driven by the International Fund and Asia Fund.
The broker expects outflows to continue for some time, which poses downside risk to earnings and limits earnings growth. Credit Suisse retains its Underperform rating.
Sector: Diversified Financials.
Target price is $3.20.Current Price is $3.39. Difference: ($0.19) – (brackets indicate current price is over target). If PTM meets the Credit Suisse target it will return approximately -6% (excluding dividends, fees and charges – negative figures indicate an expected loss).