** Jefferies cuts price target for EML Payments EML.AX to A$1.0/share from A$1.40 after weak Q1 trading updates

** Brokerage cites lower market risk appetite following the update as a reason for PT downgrade; retains "buy" rating

** Payment solutions provider reported 42% drop in underlying EBITDA for first quarter and 2% decline in total revenue on Wednesday

** Jefferies sees normalisation of rate cut cycles as a potential headwind for EML

** Most analysts covering the stock rate it "buy" or higher; their median PT is A$1.20 – LSEG data

** Stock up 4.8% this year

(Reporting by John Biju in Bengaluru)

((John.Biju@thomsonreuters.com;))