GUD Holdings Looks Excessively Discounted to Bull -- Market Talk

Dow Jones
2024/05/14

0135 GMT - The discount on GUD Holdings shares continues to look excessive to analysts at Wilsons even though the auto-accessory retailer isn't firing on all cylinders. The Wilsons analysts tell clients in a note that the Australia-listed stock was trading at about 10.5 times their 2025 earnings forecast before GUD's latest trading update, which looks low given sustained positive performance in GUD's core automotive business. They acknowledge some softness in trade at GUD's AutoPacific Group, but think that this is confined to the more challenged New Zealand market. Wilsons trims target price 2% to A$13.06 and stays overweight on the stock, which is up 9.4% at A$10.69. (stuart.condie@wsj.com)

 

(END) Dow Jones Newswires

May 13, 2024 21:35 ET (01:35 GMT)

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