TPW – Morgan Stanley rates the stock as Overweight

After a trading update, Morgan Stanley feels there are upside risks to consensus forecasts for revenue and earnings. It’s thought $1bn in revenue in four to five years is achievable, due to a dominant position and potential online migration and share gains.

Revenue rose 56% year-on-year from 1 July to 15 October, an acceleration from 49% year-on-year from 1 July to 27 August. This implies to the analyst that growth accelerated to 65% from 28 August to 15 October.

The Overweight rating and target price of $16.00 are retained. Industry view: In-Line.

Sector: Retailing.


Target price is $16.00.Current Price is $13.04. Difference: $2.96 – (brackets indicate current price is over target). If TPW meets the Morgan Stanley target it will return approximately 19% (excluding dividends, fees and charges – negative figures indicate an expected loss).



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