** Analysts at Citi cut target price for Endeavour Group
to A$4.89 from A$5.18; sets rating as "neutral"
** Citi cuts FY25 to FY27 NPAT estimates for the pub operator by 6%, driven by slower-than-expected retail sales and softer-than-expected retail margins
** "While Endeavour trades at an undemanding multiple, we don't see any signs of improving momentum in the core business which could mean the stock remains cheap for some time" - Citi
** "We also see some element of strategic uncertainty given the CEO transition," adds Citi
** In its Q1 trading update on Monday, co forecast H1 2025 retail operating EBIT margin in 7%-7.5% range vs 8% year ago
** Co announced its CEO's resignation in late-September
** Seven of 13 analysts rate the stock "buy" or higher, five "hold" and one "sell"; their median PT is A$5.22 – LSEG data
** Stock had fallen 13.6% YTD, as of last close
(Reporting by Sherin Sunny in Bengaluru)
((Sherin.Sunny@thomsonreuters.com))
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