ARB (ASX:ARB) is expected to increase its annual sales growth to an average of about 8% across 2026 to 2030, said Barrenjoey in a Thursday note.
The research firm believes that the US market presents a significant opportunity for the company, especially through its Toyota partnership, but growth will be slow due to lower brand awareness and product relevance.
Barrenjoey also noted that the company is currently trading below its historical valuation premiums as it believes that the company is being priced for earnings downgrades, which are unlikely to happen.
Barrenjoey starts ARB at overweight with a price target of AU$37.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.