Ann: Dividend/Distribution - VNT, page-13

Got this in an email today ...Thu, 7 Mar at 9:33 am


Thursday, 7 March 2024

VNT - VENTIA SERVICES GROUP LIMITED

Macquarie rates VNT as Outperform (1) - Following December half results, Macquarie observes margins are broadly increasing across its research coverage of Contractors coverage and expects further accretion in the 2H of the financial year. It's felt labour availability is starting to improve.

The broker raises its target for Outperform-rated Ventia Services to $4.00 from $3.75 after applying a lesser discount to the valuation of global peers. The company has a strong telco outlook in particular, notes the analyst.

Macquarie also has Outperform ratings for Worley ((WOR)), Monadelphous Group ((MND)), Service Stream ((SSM)) and Macmahon ((MAH)).

Target price is $4.00 Current Price is $3.83 Difference: $0.17 If VNT meets the Macquarie target it will return approximately 4% (excluding dividends, fees and charges). Current consensus price target is $4.10, suggesting upside of 7.0%(ex-dividends)The company's fiscal year ends in December.

Forecast for FY24:

Macquarie forecasts a full year FY24 dividend of 19.50 cents and EPS of 26.00 cents . At the last closing share price the estimated dividend yield is 5.09%. At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 14.73. How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 24.5, implying annual growth of 10.4%. Current consensus DPS estimate is 19.2, implying a prospective dividend yield of 5.0%. Current consensus EPS estimate suggests the PER is 15.6.

Forecast for FY25:

Macquarie forecasts a full year FY25 dividend of 21.40 cents and EPS of 28.50 cents . At the last closing share price the estimated dividend yield is 5.59%. At the last closing share price the stock's estimated Price to Earnings Ratio (PER) is 13.44. How do these forecasts compare to market consensus projections?

Current consensus EPS estimate is 26.8, implying annual growth of 9.4%. Current consensus DPS estimate is 20.6, implying a prospective dividend yield of 5.4%. Current consensus EPS estimate suggests the PER is 14.3.

Market Sentiment: 0.8All consensus data are updated until yesterday. FNArena's consensus calculations require a minimum of three sources