While Morgans estimates a 10% upgrade to first half profit (PBT) guidance by Data#3, the broker only upgrades forecasts by around 3% to allow for ongoing chip and supply chain challenges. This is considered conservative as recent history suggests a stronger second half.
The analyst lifts the target price to $6.46 from $6.28 and notes impressive organic growth of 30% year-on-year. The Add rating is maintained. More detail is expected upon the release of 1H results on February 17.
Sector: Software & Services.
Target price is $6.46.Current Price is $6.65. Difference: ($0.19) – (brackets indicate current price is over target). If DTL meets the Morgans target it will return approximately -3% (excluding dividends, fees and charges – negative figures indicate an expected loss).
