Morgans considers Reece a high-quality business with a long track record of growth. Yet, as the valuation appears full, a Hold rating is maintained.
The target is reduced to $18.25 from $20.10 because of lower valuation multiples that reflect a broader de-rating of the sector.
Sector: Capital Goods.
Target price is $18.25.Current Price is $16.87. Difference: $1.38 – (brackets indicate current price is over target). If REH meets the Morgans target it will return approximately 8% (excluding dividends, fees and charges – negative figures indicate an expected loss).
