BAP – Morgan Stanley rates the stock as Equal-weight

While there may be a risk of further personnel churn, Morgan Stanley sees little impact upon near-term earnings from the unexpected retirement of Bapcor’s CEO, Darryl Abotomy.

However, reduced optionality for EPS upgrade catalysts, such as M&A and increased uncertainty around management leads the broker to downgrade its rating to Equal-weight from Overweight. The target price falls to $7.80 from $9.70. Industry view: In line.

Sector: Retailing.


Target price is $7.80.Current Price is $6.76. Difference: $1.04 – (brackets indicate current price is over target). If BAP meets the Morgan Stanley target it will return approximately 13% (excluding dividends, fees and charges – negative figures indicate an expected loss).



About Broker News

FNArena's Australian Broker Call, is your daily news report on the latest recommendation, valuation, forecast and opinions recently published by Stockbrokers.

View more articles by Broker News →