Seek has guided to FY20 being slightly ahead of Credit Suisse’s estimates, expecting operating earnings (EBITDA) of $410m.
Zhaopin, Australasia and Seek Asia have continued to recover while the Latin American operations have been significantly impacted by the pandemic.
An increase in covenant limits provides headroom, the broker adds. Outperform maintained. Target rises to $24.00 from $23.50.
Sector: Commercial & Professional Services.
Target price is $24.00.Current Price is $21.81. Difference: $2.19 – (brackets indicate current price is over target). If SEK meets the Credit Suisse target it will return approximately 9% (excluding dividends, fees and charges – negative figures indicate an expected loss).
