OTW – Morgans rates the stock as Hold

After conducting due diligence, Aussie Broadband ((ABB)) has offered $5.75 in cash or 1.15 Aussie Broadband shares for Over The Wire Holdings. This assumes a $5 Aussie Broadband share price or a combination of cash and shares, highlights Morgans.

The broker notes Aussie Broadband shares closed yesterday at $5.20, which implies slightly more upside for Over The Wire Holdings shareholders. Additionally, if shareholders elect share consideration,it’s thought they may participate in some synergy-related upside.

Morgans retains its Hold rating and $5.75 target price.

Sector: Software & Services.


Target price is $5.75.Current Price is $5.69. Difference: $0.06 – (brackets indicate current price is over target). If OTW meets the Morgans target it will return approximately 1% (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 →