Ann: Q1 FY24 Results - Zip achieves positive Group cash EBTDA, page-160

Zip Co.'s stronger-than-expected 1Q performance can't dispel the caution Jefferies analyst Roger Samuel feels toward the stock due to consumer headwinds. He observes in a note that the buy-now-pay-later operator's Australia and New Zealand volumes fell 10% on year due to macro softness, and points out that arrears in the region ticked higher from 4Q of the prior fiscal year. In the plus column, Zip achieved positive cash earnings ahead of schedule amid higher revenue and margins. Samuel also sees no problems in Zip's funding position. Jefferies has a hold rating and A$0.38 target price on the stock, which is down 4.7% at A$0.305.