CPU - Morgan Stanley rates the stock as Overweight
PUBLISHED
2022-04-20
Content
Morgan Stanley anticipates higher margin income for Computershare after factoring in six US rate rises over 24 months. The broker also expects stronger earnings (EBITDA) on a better outlook for US mortgage servicing and Computershare Corporate Trust (CCT).
The broker sees a multi-year cost-out opportunity within the CCT division. The target rises to $28.20 from $25 and the Overweight rating is maintained. Industry view: Attractive.
Sector: Software & Services.
Target price is $28.20.Current Price is $25.75. Difference: $2.45 - (brackets indicate current price is over target). If CPU meets the Morgan Stanley target it will return approximately 9% (excluding dividends, fees and charges - negative figures indicate an expected loss).